If a variable is 100 and then increases to 150, then using the average value approach its percentage growth is:
A) 40 percent.
B) - 50 percent.
C) 15 percent.
D) 50 percent.

Question

Quizplus · Accepted Answer

The average value approach calculates the percentage growth as (new value - old value) / ((new value + old value) / 2). In this case, the percentage growth is (150 - 100) / ((150 + 100) / 2) = 50 / 125 = 0.4 = 40%.

If a Variable Is 100 and Then Increases to 150