16Hit1600
Problem-Solving and Data AnalysisVery hardNet effect of a fall and a rise

Problem-Solving and Data Analysis practice question

A share price falls by 20% in one week and then rises by 20% the next week. The final price is what percent of the original price?

Answer: 96

0.8 × 1.2 = 0.96, or 96%.

Common wrong answers

If you answered 4
4 is the percent lost, not the final percent.
If you answered 100
100 assumes the changes cancel.
If you answered 104
104 adds 20% to the fallen price using the original base; the product 0.8 × 1.2 is 0.96.

More Problem-Solving and Data Analysis questions

Not affiliated with the College Board. SAT is a trademark of the College Board.