Knock out the false percentage lines

Exercise and reference answers

Questions

1. Question

   Three of these lines about a 25 percent rise in the price of rice are false.

   Choices

   1. Item

      Cut consumption by 20 percent

      Correct

      Yes

   2. Explanation

      The cut is 25 over 125, because the base is the raised price.

      Item

      Cut consumption by 25 percent

   3. Explanation

      Cutting that far pushes the bill below what it used to be.

      Item

      Cut consumption by 30 percent

   4. Explanation

      The same quantity at a higher price makes the bill rise.

      Item

      Keep consumption unchanged

2. Question

   Three of these lines about a 40 percent markup sold at a 25 percent discount are false.

   Choices

   1. Item

      A profit of 5 percent

      Correct

      Yes

   2. Explanation

      The discount sits on the marked price, not on the cost price.

      Item

      A profit of 15 percent

   3. Explanation

      They cancel only near a 28.6 percent discount on this markup.

      Item

      Neither profit nor loss

   4. Explanation

      Selling at 105 against a cost of 100 is a gain, not a loss.

      Item

      A loss of 10 percent

Instructions

Tap the three wrong lines in each set about percentage changes, leaving the one that holds.

Explanation