QuantProblem Solving

Free GMAT Problem Solving Practice Question

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A community foundation directs 3/5 of its annual donations to grant programs. Of the donations that remain, 2/3 are paid to staff salaries. What fraction of the foundation's total annual donations is paid to staff salaries?

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Answer & Explanation

Correct answer

B

Grants take 3/5, so the remainder is 1 − 3/5 = 2/5 of total donations. Staff salaries take 2/3 of that remainder: (2/3) × (2/5) = 4/15 of total donations.

The base-narrowing step is the load-bearing move: the 2/3 applies to the remaining 2/5, not to the original total or to the grant share.

(D) stops at the remainder; (A) takes the wrong third of it; (E) reports the grant fraction itself and never takes the salary share.