A store increases the price of an item by 25% and then offers a discount of 20%
Practice Questions
Q1
A store increases the price of an item by 25% and then offers a discount of 20% on the new price. What is the final price if the original price was $80?
$70
$75
$80
$85
Questions & Step-by-Step Solutions
A store increases the price of an item by 25% and then offers a discount of 20% on the new price. What is the final price if the original price was $80?
Step 1: Start with the original price of the item, which is $80.
Step 2: Calculate the increase in price by multiplying the original price by 25%. This is done by calculating 80 * 0.25 = $20.
Step 3: Add the increase to the original price to find the new price. This is done by calculating 80 + 20 = $100.
Step 4: Calculate the discount on the new price. The discount is 20% of $100, which is calculated as 100 * 0.20 = $20.
Step 5: Subtract the discount from the new price to find the final price. This is done by calculating 100 - 20 = $80.
Percentage Increase and Decrease – Understanding how to calculate a percentage increase followed by a percentage decrease on a given price.
Order of Operations – Applying the correct sequence of operations when dealing with percentage changes.
