Question

In 2006, selected new automobiles had an average cost of $16,000. The average cost of those same automobiles is now $28,000. What was the rate of increase for these automobiles between the two time periods?

Answer 1

Answer:

Explanation:

%increase is given as = increase/ original prices ×100

Increase = new cost - original cost

The original average cost is $16000,

And the new average cost is $28,000

Then,

Increase = 28000-16000

Increase =$12,000

Then,

%increase=increase/original cost ×100

%increase = 12000/16000 ×100

%increase=75%

The rate of increase of the automobile cost is 75%