The average price of an antique car increases over the years. If from 1990 to 1996, the price of the car increased by 13% and from 1996 to 2001 it increased by 20%, what is the price of the car in 2001 if the price in 1990 was $11,500?  Answers:
A) $15,594. B) $15,322. C) $14,786. D) $14,543. E) $12,988.
Whenever you have a question in which a value is increased by x% and then increased by y% then the overall effective increase = (x + y + xy/100 ) %   The effective increase = 13 + 20 + (13×20/100) = 35.6%   This is a little more 33% or 1/3 the original value.   THE QUICKEST WAY TO SOLVE THIS QUESTION IS TO USE APPROXIMATION.   11500 + 1/ 3 (12000) = 15500   Therefore option A is the answer.   I selected 12000 because it's value is a little more 11500 and it's easier to divide by 3 ( ie to calculate 1/3 or 33%).
<result>A</result>
The average price of an antique car increases over the years. If from 1990 to 1996, the price of the car increased by 13% and from 1996 to 2001 it increased by 20%, what is the price of the car in 2001 if the price in 1990 was $11,500?