Subtract the new amount from the old amount and divide that answer by the old amount, then multiply that answer by 100.

An item last year cost $450. If it increases this year by 15%, what is its new cost?

**Solution**: Find 15% of 450 and then add this to 450.

So, (15/100) x 450 = 67.5

Therefore, the new cost is

450 + 67.50 = 517.50

The full explanation of this starts with the first solution from above, which is the original price plus the 15% of it.

450 + 0.15 x 450

This can be written as

1 x 450 + 0.15 x 450

(1+0.15) x 450

1.15 x 450 = 517.50

the skill is reading the question and jumping to the last line.

**EXAMPLE**: A golf club last year cost $80. Its price is increased by 6%. What is the new cost of the club?

(6/100) x 80 + 80

= 0.6 x 80 + 80

= 48 + 80

= 128

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To submit Percentage Increase Or Decrease assignment click here.**

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