Problem
A shirt's price increased from $40 to $52. What is the percentage increase?
📝Step-by-Step Solution
Find the increase (change)
Change = New value - Original value = $52 - $40 = $12
Recall the percentage increase formula
Percentage increase = (Increase / Original) × 100%
Substitute the values
% Increase = ($12 / $40) × 100
Calculate
12 ÷ 40 = 0.3, then 0.3 × 100 = 30
✅Final Answer
30% increase
IMPORTANT: Always divide by the ORIGINAL value, not the new value! This is the most common mistake. To find a new value after a percentage increase: New = Original × (1 + percentage/100). So $40 × 1.30 = $52.
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