Question

The cost of the previous year's booths and prizes for Class Fun Day was $504. This year's cost of the prizes and booths increased by 8% from the cost of the previous year. Mark knew that the budget for the class day is $725.76. He claimed that 70% of the money will be spent on prizes and the booths.

Use reasoning to explain how Mark's claim is incorrect. What percent of the money will be spent on the prizes and the booths?

Answer 1

Mark is incorrect in a way.. With the 8% increase on $504 (504x1.08) That increases the new amount spent this year, to $544.32.

70% of $725.76 is only $508.03 (725.76x.3)

Therefore, we know that over 70% will be spent on the booths and prizes.

Hope this helps you some.