A store increased its gross profit on a certain shirt from 15 percent of the cost of the shirt to 40 percent of the cost by changing the selling price. If the new selling price was $70.00 and the cost of the shirt remained the same, what was the old selling price?

Correct answer marked below

$10.50

$28.50

$38.50

$57.50

Correct

$66.00

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What this question tests

Your ability to compute percentage change, percentage of a whole, and to work backwards from a final value.

Treating successive percentage changes as additive — a 10% rise then a 10% fall is not back to the start.