Price of ice hockey match was 14.50. The price has increased by 7%. How much is a ticket after the increase
The Correct Answer and Explanation is:
To calculate the new price of an ice hockey match ticket after a 7% increase, we start with the original ticket price of $14.50. The first step is to find the amount of the increase by calculating 7% of the original price.
Step 1: Calculate the Increase
To find 7% of $14.50, we convert the percentage to a decimal:
[
7\% = \frac{7}{100} = 0.07
]
Next, we multiply this decimal by the original price:
[
\text{Increase} = 14.50 \times 0.07 = 1.015
]
Step 2: Add the Increase to the Original Price
Now that we know the increase is $1.015, we can find the new price by adding this increase to the original ticket price:
[
\text{New Price} = \text{Original Price} + \text{Increase}
]
[
\text{New Price} = 14.50 + 1.015 = 15.515
]
Step 3: Rounding the Final Price
Typically, ticket prices are rounded to the nearest cent. Thus, $15.515 becomes $15.52 after rounding.
Conclusion
After the 7% increase, the new price of an ice hockey match ticket is $15.52.
Explanation of the Calculation
The increase in price is calculated by taking a percentage of the original price. Percentages are used frequently in financial contexts, including pricing, discounts, and inflation rates, as they provide a clear way to express changes relative to a baseline value. Understanding how to convert percentages to decimals and apply them in calculations is essential in various fields, including business, finance, and everyday transactions.
In this scenario, a ticket that was initially priced at $14.50 is now more expensive due to the increase. By performing the multiplication to find the increase and then adding it back to the original price, we ensure an accurate final price. Rounding to the nearest cent reflects common practices in pricing, ensuring that the final amount is convenient for customers and merchants alike.