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The price of an article has been reduced by 25%. In order to restore the original price the new price must be increased by________?

Correct answer: A. 33 1/3 %

  • A. 33 1/3 %
  • B. 9 1/11 %
  • C. 11 1/9 %
  • D. 66 2/3 %
  • E. None

Explanation

After a 25% reduction, the new price is 75% of the original price. To restore it, the required increase is (100% - 75%)/75% x 100% = 25/75 x 100% = 33 1/3%. The likely trap is 25%, which measures the reduction against the original price rather than the reduced price.

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About Percentages

Percentages express a quantity as parts per hundred and support calculations involving increases, decreases, discounts, commissions, taxes, and successive changes. Questions require distinguishing percentage change from percentage points and identifying the original value when a final value and its percentage change are given.

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