What factor should each value be multiplied by in the initial calculation step?

• A. 0.123
• B. 1.23
• C. 12.3
• D. 2.3

Answer: (B)

When you need to apply a percentage increase to every value, you multiply by a factor that equals 1 plus the decimal form of the percentage. For a 23% increase, that factor is 1.23, because 1.23 x equals the original value plus 23% of it (x × 1.23 = x + 0.23x). So each value should be multiplied by 1.23 to reflect that 23% addition.

For example, if a value is 4, multiplying by 1.23 gives 4.92. The other options don’t match a 23% increase: 0.123 would shrink the value to about 12.3% of it; 12.3 would scale by 12.3 times; 2.3 would increase by 130% rather than 23%.