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If a public administration budget is increased by 20% and the original budget wa

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Question: If a public administration budget is increased by 20% and the original budget was $500,000, what is the new budget?

Options:

  1. $600,000
  2. $550,000
  3. $500,000
  4. $650,000

Correct Answer: $600,000

Solution: 

New budget = Original budget + (20% of Original budget) = 500,000 + (0.20 * 500,000) = 600,000.

If a public administration budget is increased by 20% and the original budget wa

Practice Questions

Q1
If a public administration budget is increased by 20% and the original budget was $500,000, what is the new budget?
  1. $600,000
  2. $550,000
  3. $500,000
  4. $650,000

Questions & Step-by-Step Solutions

If a public administration budget is increased by 20% and the original budget was $500,000, what is the new budget?
  • Step 1: Identify the original budget, which is $500,000.
  • Step 2: Calculate 20% of the original budget. To do this, multiply the original budget by 0.20: 500,000 * 0.20.
  • Step 3: Perform the multiplication: 500,000 * 0.20 = 100,000.
  • Step 4: Add the result from Step 3 to the original budget: 500,000 + 100,000.
  • Step 5: Perform the addition: 500,000 + 100,000 = 600,000.
  • Step 6: The new budget is $600,000.
  • Percentage Increase – Understanding how to calculate a percentage increase on a given amount.
  • Basic Arithmetic – Applying addition and multiplication to solve for the new budget.
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