- An investor's portfolio lost 15% of its value in a month. If the current value of the portfolio is $38,250, what was its value at the beginning of the month?
Answer: $45,000.00
Let the original value be V. After a 15% loss, the remaining value is 100 of the original value. So, 0.85×V=$38,250. To find the original value V, divide the current value by 0.85: V=0.8538250=$45,000. - A population of bacteria doubles every 3 hours. If the population increases by 300% over a certain time period, how many hours have passed?
Answer: 6 hours
When you encounter exponential growth problems, focus on understanding what "increases by a percentage" actually means in terms of the final population size.
If a population increases by 300%, this means it grows to 400% of its original size (the original 100% plus the 300% increase). In other words, the population becomes 4 times larger than it started.
Since the bacteria population doubles every 3 hours, you need to find how long it takes to reach 4 times the original size. Starting with 1 unit, after 3 hours you have 2 units (doubled once), and after 6 hours you have 4 units (doubled twice). Since 22=4, it takes exactly 6 hours for the population to quadruple, which corresponds to a 300% increase.
Choice A (15 hours) would mean the population doubled 5 times (25=32), resulting in a 3,100% increase. Choice B (9 hours) represents 3 doublings (23=8), giving a 700% increase. Choice C (12 hours) means 4 doublings (24=16), which equals a 1,500% increase.
The correct answer is D) 6 hours.
Remember this key distinction: when a problem states something "increases by X%," the final amount is the original plus X%, not just X% of the original. Always convert percentage increases to multiplication factors first—it makes exponential growth problems much clearer and helps you avoid the common trap of confusing "increases by" with "increases to." - The total price of a meal, including a 15% tip, was $51.75. What was the price of the meal before the tip was added?
Answer: $45.00
Let P be the price of the meal before the tip. The total price is the original price plus 15% of the original price: P+0.15P=1.15P. We are given that the total price is $51.75, so 1.15P=51.75. To find P, divide the total price by 1.15: P=1.1551.75=$45.00. - A salesperson earns a commission of 5% on the first $10,000 of sales and 8% on all sales exceeding $10,000. If the salesperson's total sales for a month were $25,000, what was their total commission?
Answer: $1,700
The commission is calculated in two parts. First, the commission on the first $10,000 is 0.05×10,000=$500. Second, find the amount of sales exceeding $10,000, which is $25,000−$10,000=$15,000. The commission on this portion is 0.08×15,000=$1,200. The total commission is the sum of the two parts: $500+$1,200=$1,700. - A company's revenue increased from $450,000 in Year 1 to $585,000 in Year 2. If the company wants to achieve the same percentage increase from Year 2 to Year 3, what will their Year 3 revenue be?
Answer: $760,500
First, calculate the percentage increase from Year 1 to Year 2: (585,000 - 450,000) ÷ 450,000 = 135,000 ÷ 450,000 = 0.30 = 30%. Then apply this same 30% increase to Year 2: 585,000 × 1.30 = $760,500. Choice A uses the dollar amount increase ($135,000) added to Year 2 revenue twice. Choice C incorrectly calculates 30% of Year 2 revenue and adds it twice. Choice D rounds incorrectly and compounds errors.
- If the agent sells a home for $650,000, what percentage of the total sale price does the commission represent?
Answer: 3.23%
Commission calculation: First $200,000 at 2% = $4,000. Next $300,000 ($200,001 to $500,000) at 3% = $9,000. Remaining $150,000 ($500,001 to $650,000) at 4% = $6,000. Total commission = $4,000 + $9,000 + $6,000 = $19,000. As percentage of sale price: $19,000 ÷ $650,000 = 0.0323 = 3.23%. Choice A uses wrong tier calculations. Choice B assumes uniform 3% rate. Choice D assumes uniform 4% rate on entire amount.
- A jacket is priced at $150. It is on sale for 20% off. A customer buys the jacket and pays a sales tax of 8% on the discounted price. What is the total amount the customer pays?
Answer: $129.60
First, calculate the discounted price. The discount is 20% of $150, which is 0.20×150=$30. The sale price is $150−$30=$120. Next, calculate the sales tax on this discounted price. The tax is 8% of $120, which is 0.08×120=$9.60. Finally, add the tax to the sale price to find the total amount: $120+$9.60=$129.60. - A sales representative earns a monthly salary of $2,500 plus a 4% commission on all sales. If the representative earned a total of $4,300 in one month, what was the total amount of their sales for that month?
Answer: $45,000
First, find the amount earned from commission by subtracting the base salary from the total earnings: $4,300−$2,500=$1,800. This $1,800 represents 4% of the total sales (let's call sales S). So, 0.04×S=$1,800. To find the total sales, divide the commission amount by the commission rate: S=0.041800=$45,000. - A survey of 2,400 students found that 35% chose history as their favorite subject, and 45% chose science. The remaining students chose English. If 25% of the students who chose science change their choice to English, how many students now choose English as their favorite subject?
Answer: 750
First, find the initial number of students for each subject. Science: 0.45×2400=1080. History: 0.35×2400=840. The initial percentage for English is 100, so the initial number is 0.20×2400=480. Next, calculate how many students change from science to English: 25% of the science students is 0.25×1080=270. This number is added to the English group: 480+270=750. The new number of students who choose English is 750. - A store marks up items by 40% above wholesale cost, then offers a 25% discount from the marked price during a sale. If an item's wholesale cost is $60, what is the final sale price as a percentage of the wholesale cost?
Answer: 105%
The marked price is $60 × 1.40 = $84. After a 25% discount, the sale price is $84 × 0.75 = $63. As a percentage of wholesale cost: $63 ÷ $60 = 1.05 = 105%. Choice B incorrectly subtracts the discount percentage from the markup percentage (40% - 25% = 15%, then adds 100%). Choice C assumes the discount is applied to wholesale cost instead of marked price. Choice D simply adds the net effect incorrectly (40% - 15% = 25%).
- An employee's current annual salary is $54,600 after receiving a 5% raise. What was the employee's annual salary before the raise?
Answer: $52,000
Let the original salary be S. After a 5% raise, the new salary is S+0.05S=1.05S. We are given that this new salary is $54,600. So, 1.05S=54600. To find the original salary, we divide the current salary by 1.05: S=1.0554600=$52,000. - A car's value depreciates by 15% each year. After how many complete years will the car be worth less than 50% of its original value?
Answer: 5 years
This is a compound depreciation problem where you need to find when a value falls below a certain threshold. When a car depreciates by 15% each year, it retains 85% of its value, so you multiply by 0.85 each year.
Starting with an original value of 1 (representing 100%), the car's value after each year follows the pattern: Value=1×(0.85)n where n is the number of years.
You need to find when this value drops below 0.5 (50% of original value). Let's calculate year by year:
- After 1 year: 1×0.85=0.85 (85%)
- After 2 years: 1×(0.85)2=0.7225 (72.25%)
- After 3 years: 1×(0.85)3=0.614 (61.4%)
- After 4 years: 1×(0.85)4=0.522 (52.2%)
- After 5 years: 1×(0.85)5=0.444 (44.4%)
The car first drops below 50% after 5 complete years, making D correct.
Choice A (3 years) leaves the car at 61.4% of original value—still well above 50%. Choice B (4 years) results in 52.2%, which is still above the 50% threshold. Choice C (6 years) would work but isn't the minimum number of complete years required.
Strategy tip: For exponential decay problems, always calculate step-by-step until you cross the threshold. Don't try to solve algebraically unless you're very comfortable with logarithms—the arithmetic approach is more reliable and less error-prone on timed exams. - A person invests $5,000 in an account that earns 3% simple annual interest. After 2 years, they move the entire amount (principal plus all earned interest) to a new account that earns 4% simple annual interest. How much interest is earned in the first year at the new account?
Answer: $212
First, calculate the interest earned in the first account over 2 years: I=Prt=$5,000×0.03×2=$300. The total amount moved to the new account is the original principal plus this interest: $5,000+$300=$5,300. This new total becomes the principal for the second account. The interest earned in the first year at the new account is 4% of this new principal: 0.04×$5,300=$212. - A 50-liter solution is 20% acid. How many liters of pure acid must be added to the solution to make it 50% acid?
Answer: 30
The initial amount of acid is 20% of 50 liters, which is 0.20×50=10 liters. Let x be the number of liters of pure acid added. The new total amount of acid will be 10+x, and the new total volume of the solution will be 50+x. We want the new solution to be 50% acid, so we set up the equation: 50+x10+x=0.50. To solve for x, multiply both sides by (50+x): 10+x=0.5(50+x), which simplifies to 10+x=25+0.5x. Subtracting 0.5x from both sides gives 0.5x+10=25. Subtracting 10 gives 0.5x=15. Finally, dividing by 0.5 gives x=30. - A scientist measures the mass of a sample to be 78 grams. The actual, known mass of the sample is 80 grams. What is the percent error of the measurement relative to the actual mass?
Answer: 2.5%
Percent error is calculated using the formula: \frac{|\text{Measured Value} - \text{Actual Value}|}{\text{Actual Value}} \times 100\%. First, find the absolute error: \(|78 - 80| = 2 grams. Then, divide this error by the actual value: 802=0.025. Finally, multiply by 100 to express it as a percentage: 0.025×100=2.5. - A solution contains 20% salt by volume. If 30 liters of pure water is added to 120 liters of this solution, what is the percentage of salt in the new solution?
Answer: 16%
Original solution: 120 liters with 20% salt contains 120 × 0.20 = 24 liters of salt. After adding 30 liters of pure water, total volume = 120 + 30 = 150 liters, but salt amount remains 24 liters. New percentage = 24 ÷ 150 = 0.16 = 16%. Choice A incorrectly calculates as if salt were diluted proportionally. Choice B assumes some salt is lost in the process. Choice D fails to account for the volume increase properly.
- The population of a town was 10,000 in 2020. It increased by 8% in 2021 and then decreased by 5% in 2022. What was the population of the town at the end of 2022?
Answer: 10,260
First, calculate the population after the 8% increase in 2021: 10,000×1.08=10,800. Next, calculate the population after the 5% decrease in 2022. The decrease is applied to the new population of 10,800: 10,800×(1−0.05)=10,800×0.95=10,260. The population at the end of 2022 was 10,260. - A company's annual budget is allocated as follows: 40% for salaries, 25% for research, 15% for marketing, and the rest for operational costs. If the amount allocated for marketing is $90,000, what is the amount allocated for operational costs?
Answer: $120,000
First, determine the total budget. We know that 15% of the total budget (B) is $90,000. So, 0.15×B=$90,000. This means B=0.1590000=$600,000. Next, find the percentage for operational costs: 100. Finally, calculate the amount for operational costs, which is 20% of the total budget: 0.20×$600,000=$120,000. - A recipe that makes 2 dozen cookies requires 10 ounces of flour. A baker wants to make 3 dozen cookies. By what percentage must the amount of flour be increased?
Answer: 50%
The original recipe makes 2 dozen cookies. The new batch is for 3 dozen cookies. The increase in the number of cookies is 3−2=1 dozen. The percent increase in the batch size is originalincrease=2 dozen1 dozen=0.5, which is a 50% increase. Since the recipe is proportional, the amount of flour must also be increased by 50%. - In a city, 60% of the population are registered voters. Of the registered voters, only 45% actually voted in the last election. What percentage of the total city population voted in the last election?
Answer: 27%
This is a multi-step percent problem. To find the percentage of the total population that voted, you need to find 45% of 60%. Convert the percentages to decimals and multiply them: 0.45×0.60=0.27. To convert this decimal back to a percentage, multiply by 100. So, 27% of the total city population voted.