Question

Using Year 1 as the base year, the percentage increase in sales in Years 2 and 3 are, respectively:

1) 6.9% and 7.5%
2) 9% and 25%
3) 15% and 25%
4) 10% and 20%

Answer 1

The correct answer is option 1.

Step-by-step explanation:

The percentage increase in sales can be calculated by multiplying the percentage by the original sales amount.

1. For Year 2, the increase is 6.9%. So, the new sales amount is 100 + (6.9% x 100) = 106.9.
2. For Year 3, the increase is 7.5%. So, the new sales amount is 106.9 + (7.5% x 106.9) = 115.05.

Therefore, the percentage increase in sales in Years 2 and 3 are respectively 6.9% and 7.5%.