Question

What single decimal multiplier would you use to increase by 5% followed by a 20% increase?

Answer 1

Answer:

The single decimal multiplier is 1.26.

Step-by-step explanation:

Multipliers:

For a decrease of a%, we multiply by: $\frac{100-a}{100}$

For a increase of a%, we multiply by: $\frac{100+a}{100}$

For consecutive changes, we multiply the multipliers.

Increase of 5%

Multiply by $\frac{100+5}{100} = \frac{105}{100} = 1.05$

Increase of 20%

Multiply by $\frac{100+20}{100} = \frac{120}{100} = 1.2$

Consecutive:

1.05*1.2 = 1.26

The single decimal multiplier is 1.26.