Question

A company's sales revenue was $200,000 this quarter and $150,000 the

previous quarter. By what percentage did it change?

OA. It dropped by 25 percent.
OB. It dropped by 33.3%.
OC. It rose by 33.3 percent.
OD. It rose by 25%.

Answer 1

The company's sales revenue rose by 33.3 percent from the previous quarter, calculated by dividing the change in sales revenue, $50,000, by the original sales revenue, $150,000, and then multiplying by 100%. Therefore, the correct option is OC. It rose by 33.3 percent.

Step-by-step explanation:

To calculate the percentage change in the company's sales revenue, we use the formula: Percentage change = (Change in quantity / Original quantity) × 100%. Here, the original quantity is the sales revenue from the previous quarter, $150,000, and the change in quantity is the difference in sales revenue between the two quarters, which is $200,000 - $150,000 = $50,000.

Using the formula, we get: Percentage change = ($50,000 / $150,000) × 100% = 0.3333 × 100% = 33.3%. Thus, the sales revenue rose by 33.3 percent from the previous quarter. Therefore, the correct answer is option C: It rose by 33.3 percent.