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A company has a goal to increase sales by 25% over the next year. If current sal

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Question: A company has a goal to increase sales by 25% over the next year. If current sales are $200,000, what will be the target sales?

Options:

  1. $225,000
  2. $250,000
  3. $275,000
  4. $300,000

Correct Answer: $225,000

Solution: 

To find the target sales, calculate 25% of $200,000, which is $50,000. Adding this to the current sales gives $250,000.

A company has a goal to increase sales by 25% over the next year. If current sal

Practice Questions

Q1
A company has a goal to increase sales by 25% over the next year. If current sales are $200,000, what will be the target sales?
  1. $225,000
  2. $250,000
  3. $275,000
  4. $300,000

Questions & Step-by-Step Solutions

A company has a goal to increase sales by 25% over the next year. If current sales are $200,000, what will be the target sales?
  • Step 1: Identify the current sales amount, which is $200,000.
  • Step 2: Calculate 25% of the current sales. To do this, multiply $200,000 by 0.25 (which is the decimal form of 25%).
  • Step 3: The result of the multiplication is $50,000. This is the amount of increase needed to reach the goal.
  • Step 4: Add the increase ($50,000) to the current sales ($200,000) to find the target sales.
  • Step 5: The target sales amount is $250,000.
  • Percentage Increase – Understanding how to calculate a percentage increase on a given value.
  • Basic Arithmetic – Performing addition and multiplication to find the target sales.
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