The original price of a certain computer has increased. The increase is what percent of the new price?
(1) The increase is 25 percent of the original price.
(2) The new price of the computer is $1,200.
In this question, we are required to find out the value of
(Increase/New Price)*100.
Now, let's look at each statement individually and then at both of them together (if required):
Statement 1: The increase is 25 percent of the original price.
Increase = 25% of original price = 1/4(original price)
Thus, the new price = original price + increase = 5/4(original price)
Hence, the required ratio = (1/4(original price))/(5/4(original price) * 100 = 20%
Thus, we are able to arrive at a unique value for the required ratio using Statement 1 alone.
Now, let's look at Statement 2:
Statement 2: The new price of the computer is $1,200.
Through this statement, we only get to know the new price of the computer. We are still unaware of the old price of the computer, and nothing about the increase can be determined. Hence, Statement 2 is in insufficient alone.
As we are able to determine the required value using Statement 1 alone, the correct answer is
Option A - Statement 1 alone is sufficientHope this helps!