Question

Arun bought a car for Rs. 350,000. The next year, the price went up to Rs. 370,000. What was the percentage of price increased?

Answer 1

Hint: In this question Arun bought a car for some amount and later after certain duration of time the price of that car went up, so the percentage increase in amount of car will be increment in price divided by original price multiplied with 100 so, use this basic concept to reach the solution of the problem.

Complete step-by-step answer:
Given data
Arun bought a car for Rs. 350,000.
And in the next year, the price went up to Rs. 370,000.
So, increment in the price is $=370,000-350,000=Rs.20,000$
So, the percentage of price increased is the ratio of increment in the price divided by original price multiplied by 100.
Therefore percentage of price increased $={\displaystyle \frac{20,000}{350,000}}\times 100$
$={\displaystyle \frac{2}{35}}\times 100={\displaystyle \frac{40}{7}}=5.714$%
So, this is the required percentage of price increase.

Note: Whenever we face such types of problems the key point to firstly calculate the increment in price, which can be obtained by subtracting the original price from the increased price. After having an incremented price the percentage can be easily calculated using the basic percentage calculation formula.