Question

At the start of the year a summer holiday to Spain cost £650. It increased by 11% in

March and by a further 8% in May. Calculate the final cost of the holiday after the
two increases. Give your answer to the nearest £.

Answer 1

Final cost = £779

Explanation:

It is given that:

Cost of summer holiday = £650

Amount increased by 11%

Increased cost = 11% of 650

Increased cost =
`(11)/(100)*650`

Increased cost = 0.11 * 650 = £71.50

Amount after increment = 650 + 71.50 = £721.50

Further increase = 8%

Amount = 0.08 * 721.50 = £57.72

Final cost = 721.50 + 57.72 = £779.22

Thus,

Final cost = £779