8

Set 2: Percentages (Intermediate)

Explanation

Answer: C

PROBLEM

A price of $120 increases by 20%. What is the new price?

A price of $120 increases by 20%. What is the new price?

A.

149

B.

134

C.

144

✓ Correct
D.

154

Detailed Explanation

Choice C is the best answer. Increase = 20% of 120 = 24. New price = 120 + 24 = $144

Why others are wrong:
A: 149 is incorrect because it does not satisfy the equation.
B: 134 is incorrect because it does not satisfy the equation.
D: 154 is incorrect because it does not satisfy the equation.