The Price of a New Textbook Increased by 25 Percent

question 408

Multiple Choice

The price of a new textbook increased by 25 percent and the price of a used textbook increased by 30 percent. What happened to the relative price of the new textbook?

• A)It increased by 5 percent.
• B)It increased, but we can't tell by how much without more information.
• C)It decreased by 5 percent.
• D)It decreased, but we can't tell by how much without more information.

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Definitions:

Delivery Cycle Time

The elapsed time from when a customer order is received until the finished goods are shipped.

Division's Turnover

The total sales generated by a specific division of a company within a given period.

Combined Margin

A profitability measure that combines various margin ratios, such as gross margin and operating margin, to give a comprehensive view of a company's overall profitability.

Investment Opportunity

A situation where an individual or organization can invest capital with the expectation of achieving a return.