Mathematics for IGCSE & O level - Percentages (Section 6 - No. 2)
Due to inflation, prices increase by 5% per year. An item costs $12 now. What will it cost in 2 years' time?
$12.60
$13.23
$13.00
$12.75
Paliwanag
In one year, the price is $12 * 1.05 = $12.60. In two years, the price is $12.60 * 1.05 = $13.23.