Increasing the original price of a certain item by 25 percent and then increasing the new price by 30 percent is equivalent to increasing the original price by what percent?	Select the correct option
A) 31.25  B) 37.5  C) 50.0  D) 52.5  E) 62.5

Rationale: we ' re told that the original price of an item is increased by 25 % and then that price is increased by 30 % . . . . if . . . . starting value = $ 100 + 25 % = 100 + . 25 ( 100 ) = 125 + 30 % = 125 + . 30 ( 125 ) = 125 + 37.5 = 162.5 the question asks how the final price relates to the original price . this is essentially about percentage change , which means we should use the percentage change formula : percentage change = ( new - old ) / old = difference / original doing either calculation will yield the same result : 62.5 / 100 = 62.50 % final answer : e
Answer: E