Multiple choice

In each of the years 1997 and 1998, Development Tax Software sold 3.4 million copies more than in the previous year. Quantity A Percent increase in the number of copies sold in 1997 over the previous year Quantity B Percent increase in the number of copies sold in 1998 over the previous year

  1. Quantity A is greater.

  2. Quantity B is greater.

  3. Two quantities are equal.

  4. The relationship cannot be determined from the information given.
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Let S be sales in 1996. Sales in 1997 = S + 3.4. Sales in 1998 = S + 6.8. Percent increase 1997 = (3.4/S) * 100. Percent increase 1998 = (3.4/(S+3.4)) * 100. Since S < S+3.4, the fraction 3.4/S is greater than 3.4/(S+3.4).

AI explanation

The percent increase is calculated as the absolute increase divided by the previous base value. Since the absolute increase of 3.4 million is the same for both years, the year with the smaller previous base will yield the larger percentage increase. Because the base for 1997 is smaller than the base for 1998, the percent increase in 1997 over the previous year is greater.

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