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The price of an article is decreased by ...

The price of an article is decreased by 10%. To restore its former value the new price must be increased by:

A

0.1

B

0.11

C

`9 1/11%`

D

`11 1/9%`

Text Solution

AI Generated Solution

The correct Answer is:
To solve the problem, we need to determine how much the new price must be increased to restore the original price after a 10% decrease. ### Step-by-Step Solution: 1. **Define the Original Price**: Let the original price of the article be represented as \( P \). For simplicity, we can assume \( P = 100 \) (this makes calculations easier). **Hint**: Start by defining a variable for the original price to simplify calculations. 2. **Calculate the New Price After 10% Decrease**: A decrease of 10% means we subtract 10% of \( P \) from \( P \): \[ \text{New Price} = P - 0.10P = 0.90P \] Substituting \( P = 100 \): \[ \text{New Price} = 0.90 \times 100 = 90 \] **Hint**: To find the new price after a percentage decrease, multiply the original price by \( (1 - \text{decrease percentage}) \). 3. **Determine the Amount Needed to Restore the Original Price**: To restore the original price of \( P \) (which is 100), we need to find out how much we need to increase the new price (90) to get back to 100: \[ \text{Increase Required} = P - \text{New Price} = 100 - 90 = 10 \] **Hint**: Subtract the new price from the original price to find the increase needed. 4. **Calculate the Percentage Increase**: Now, we need to find out what percentage this increase (10) is of the new price (90): \[ \text{Percentage Increase} = \left( \frac{\text{Increase Required}}{\text{New Price}} \right) \times 100 = \left( \frac{10}{90} \right) \times 100 \] Simplifying this: \[ \text{Percentage Increase} = \frac{10}{90} \times 100 = \frac{1000}{90} \approx 11.11\% \] **Hint**: To find the percentage increase, divide the increase by the new price and multiply by 100. ### Final Answer: To restore the original price after a 10% decrease, the new price must be increased by approximately **11.11%**.
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