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Choose the option that best answers the question.

Increasing the original price of a certain item by 25 percent and then increasing the new price by 25 percent is equivalent to increasing the original price by what percent?

Title

Increase Followed by Increase

Your Result

Correct

Difficulty

Medium

Your Pace

1:31

Others' Pace

1:19

Video Explanation


Text Explanation

When dealing with percents when we're not given specific numbers, 100 is a good number to use. 

If we set the original price at 100, increasing it by 25% makes it 125. Increasing 125 by 25% adds 31.25, making the final number 156.25.

That's an increase of 56.25% from the original. The correct answer is (E)


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