A price of 150 is decreased by 50% and the new price is then reduced by 20%. What is the final price?
Answer and explanation
Correct answer: B. 60
- Step 1: After the first change the price is 150 x 0.5 = 75.
- Step 2: After the 20% reduction it is 75 x 0.8 = 60.
Answer
60.
Why not the others: 45 adds and subtracts the percentages directly, but the second change applies to the new price; the other values apply only one of the changes.
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