A phone's price rises by 10% and the next month falls by 10%. Compared with the original price, the final price is:

Answer and explanation

Correct answer: C. 1% lower than the original (110 x 0.9 = 99 from a base of 100)

  1. Step 1: Start with 100: after a 10% rise it is 110. Step 2. A 10% fall of 110 removes 11, giving 99, which is 1% below 100. Answer: 1% lower than the original. Why not the others: The two percentages apply to different amounts, so they do not cancel; 10% lower or 1% higher ignore the changed base.

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A phone's price rises by… | ENLA Secondary Practice (Peru)