The profits in your consulting business increase by 7% one year and decrease by 4% the following year, your profits are up by 4% over two years?

[Anonymous]

true or false? if false what will be profits received over 2 years

[KDA20]

False nearer 3% because
Year 1 Profit 100
Year 2 Up 7% (100/100 x 7 = 7)
100 + 7 = 107
Year 3 Down 4% (107/100 x 4 = 4.29)
100 - 4.29 = 102.71

Comparison 100 to 102.71 = + 2.71%

[coolbreeze]

I say false because wouldn't it be 3 percent instead.

[dudeman]

well id say 5 because seven plus three divided by two is five.