| Author |
Message |
|
akhp77
|
Post subject: Health insurance Plan  Posted: Mon May 17, 2010 12:50 pm |
|
 |
| Students |
|
|
Posts: 114
|
|
Source: MGMAT CAT
Health insurance Plan A requires the insured to pay $1000 or 50% of total cost, whichever is lower. Plan B requires the insured to pay the initial $300, but then pays 80% of the cost over $300. Which of the following is a cost level for which both insurance plans pay out the same amount?
A: $600, B: $1000, C: $3800, D: $5300, E: $6200
OA: C
Initially, I did it incorrectly because I understood question wrongly.
Is the above problem obvious in meaning? Please suggest.
I predicted based on solution as follows
total cost => total cost claimed
pays 80% of the cost over $300 => pays 80% of the claimed cost over $300
Regards
Akhilesh Prasad
|
|
  |
|
 |
|
tim
|
Post subject: Re: Health insurance Plan Posted: Mon May 24, 2010 6:00 pm |
|
|
| ManhattanGMAT Staff |
|
|
Posts: 2242
Location: Southwest Airlines, seat 21C
|
|
Hi Akhilesh,
You’re totally overanalyzing this one. It doesn’t matter whether we are talking about total impact on the economy cost, total claim amount, or total that I make up with a random number generator. The bottom line is that the word cost shows up three times, and all three times it means the same thing. Again, it doesn’t matter in the slightest what it means, just that the meaning is consistent. This is precisely why you can replace all three with the variable x and proceed to solve from there..
_________________
Tim Sanders
Manhattan GMAT Instructor
|
|
| |
|
|
|
riddance.blog
|
Post subject: Re: Health insurance Plan Posted: Thu May 27, 2010 2:50 am |
|
|
| Students |
|
|
Posts: 1
|
|
Hi,
In my opinion this question is not formulated correctly, as there is ambiguity on the following sentence:
Plan B requires the insured to pay the initial $300, but then pays 80% of the cost over $300
who pays the 80% over $300? the insured or the Plan? It's not clear enough.
Regards,
rid
|
|
| |
|
|
|
RonPurewal
|
Post subject: Re: Health insurance Plan Posted: Wed Jun 23, 2010 9:18 am |
|
|
| ManhattanGMAT Staff |
|
|
Posts: 7146
|
riddance.blog wrote: Hi,
In my opinion this question is not formulated correctly, as there is ambiguity on the following sentence:
Plan B requires the insured to pay the initial $300, but then pays 80% of the cost over $300
who pays the 80% over $300? the insured or the Plan? It's not clear enough.
Regards,
rid interestingly, if you process this sentence in the same way that you would process an analogous sentence correction problem, you'll see that there is only one way to interpret it. in particular, the verb "pays" is parallel to "requires", but is not parallel to "(to) pay". therefore, it must have the same subject as "requires" -- so we know that we are talking about the plan, not the insured person. hope that helps.
|
|
| |
|
|
|
elevinty
|
Post subject: Re: Health insurance Plan Posted: Sat Mar 26, 2011 11:47 am |
|
|
| Course Students |
|
|
Posts: 34
|
|
are you serious?
am I going to face similar question in GMAT?
where I need to analyze what word is referring to what.
I got this question wrong for the same reason as above. I thought that the insured needs to pay 80%
|
|
| |
|
|
|
jnelson0612
|
Post subject: Re: Health insurance Plan Posted: Fri Apr 01, 2011 1:05 pm |
|
|
| ManhattanGMAT Staff |
|
|
Posts: 1857
|
elevinty wrote: are you serious?
am I going to face similar question in GMAT?
where I need to analyze what word is referring to what.
I got this question wrong for the same reason as above. I thought that the insured needs to pay 80% elevinty, yes, correctly analyzing what the problem is asking for is part of the quant. However, this really should not be that hard to understand. "Plan B requires the insured to pay the initial $300, but then pays 80% of the cost over $300" Read it exactly the way Ron described. Plan B: 1) requires the insured to pay the initial $300 BUT THEN 2) pays 80% of the cost over $300. Both of those refer back to Plan B.
_________________
Jamie Nelson
ManhattanGMAT Instructor
|
|
| |
|
|
|
hemant.rao110
|
Post subject: Re: Health insurance Plan Posted: Fri Sep 23, 2011 10:40 pm |
|
|
| Students |
|
|
Posts: 27
|
|
so that means for getting good score in quant one must need good SC skills
|
|
| |
|
|
|
varun_783
|
Post subject: Re: Health insurance Plan Posted: Sat Sep 24, 2011 1:30 am |
|
|
| Course Students |
|
|
Posts: 263
|
hemant.rao110 wrote: so that means for getting good score in quant one must need good SC skills haha! well, can't hurt your chances... But on word translations, interpreting the question is what is being tested. Once the question has been interpreted correctly, rest of what follows is simple calculation.
|
|
| |
|
|
|
StaceyKoprince
|
Post subject: Re: Health insurance Plan Posted: Fri Nov 11, 2011 10:23 pm |
|
|
| ManhattanGMAT Staff |
|
|
Posts: 6077
Location: San Francisco
|
|
that is true on word questions, yes - they are also testing you on whether you can correctly translate from english to math :)
_________________
Stacey Koprince
Instructor
Director of Online Community
ManhattanGMAT
|
|
| |
|
|
|
