AbdurRakib wrote:

A baseball player signs a new contract that includes a guaranteed 10 percent increase in salary over his old contract, plus a performance bonus of up to $500. If he earns the maximum possible performance bonus, his new salary including bonus will be equivalent to a 12 percent increase over his old salary. Assuming he earns the full bonus, what will his total new salary be, in dollars?

(A) 24,500

(B) 25,000

(C) 27,500

(D) 28,000

(E) 28,500

GIVEN = 12% = 10% +500................2% = 500....................100% = 25000....

so old salary = 25000...

new salary = 25000+10% 0f 25000+500 = 25000+2500+500 = 28000

D

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1) Absolute modulus : http://gmatclub.com/forum/absolute-modulus-a-better-understanding-210849.html#p1622372

2)Combination of similar and dissimilar things : http://gmatclub.com/forum/topic215915.html

3) effects of arithmetic operations : https://gmatclub.com/forum/effects-of-arithmetic-operations-on-fractions-269413.html

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