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Official Solution:

0.375 is what percent smaller than \(\frac{5}{4}\)?

A. 30
B. 36
C. 50
D. 60
E. 70


\(0.375=\frac{375}{1000}=\frac{3}{8}\).

So, the answer is \(\frac{\frac{5}{4}-\frac{3}{8}}{\frac{5}{4}}*100=\frac{\frac{7}{8}}{\frac{5}{4}}*100=\frac{7}{8}*\frac{4}{5}*100=70 \%\).


Answer: E

Could an alternate method be to move the decimals so we have 37.5 is what percent of 125 (as 5/4ths is equivalent to 1.25) which is 30% which means 70% smaller?

Did I just luck out on that or is it viable approach or is it risky because the "5/4" might not be so simple to work with as 1.25?

This also would be a right approach.
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Another way would be (3/8) of (5/4) which is 30%, meaning that 3/8 is 70% smaller.
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I have edited the question and the solution by adding more details to enhance its clarity. I hope it is now easier to understand.
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