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If a company's profit increases from $200,000 to $250,000, what is the percentag

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Question: If a company\'s profit increases from $200,000 to $250,000, what is the percentage increase in profit?

Options:

  1. 25%
  2. 20%
  3. 30%
  4. 15%

Correct Answer: 25%

Solution:

Percentage Increase = ((New Profit - Old Profit) / Old Profit) * 100 = ((250000 - 200000) / 200000) * 100 = (50000 / 200000) * 100 = 25%.

If a company's profit increases from $200,000 to $250,000, what is the percentag

Practice Questions

Q1
If a company's profit increases from $200,000 to $250,000, what is the percentage increase in profit?
  1. 25%
  2. 20%
  3. 30%
  4. 15%

Questions & Step-by-Step Solutions

If a company's profit increases from $200,000 to $250,000, what is the percentage increase in profit?
  • Step 1: Identify the old profit, which is $200,000.
  • Step 2: Identify the new profit, which is $250,000.
  • Step 3: Calculate the difference between the new profit and the old profit: 250,000 - 200,000 = 50,000.
  • Step 4: Divide the difference by the old profit: 50,000 / 200,000.
  • Step 5: Calculate the result of the division: 50,000 / 200,000 = 0.25.
  • Step 6: Convert the result to a percentage by multiplying by 100: 0.25 * 100 = 25%.
  • Percentage Increase – The calculation of the percentage change in a value, which is determined by the difference between the new and old values divided by the old value, multiplied by 100.
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