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Numeracy · Guided Practice

Compound Percentages

13 questions with answers and video solutions. Try each one before revealing the answer.

1
Write down the decimal multiplier you would use for:
(a) an increase of 6%\displaystyle 6\%
(b) a decrease of 12%\displaystyle 12\%
Video solution coming soon
2
A caravan is worth £8400\displaystyle \pounds 8400.
It depreciates by 9%\displaystyle 9\% in one year.
Calculate its value after 1 year.
Video solution coming soon
3
£2500\displaystyle \pounds 2500 is invested in a savings bond paying 3%\displaystyle 3\% compound interest per year.
Calculate the value of the bond after 2 years.
Video solution coming soon
4
The population of a village is 8600\displaystyle 8600.
It is expected to increase by 2.5%\displaystyle 2.5\% each year for the next 5 years.
Calculate the expected population after 5 years.
Give your answer rounded to 3 significant figures.
Video solution coming soon
5
A company buys machinery costing £24000\displaystyle \pounds 24000.
The machinery depreciates by 18%\displaystyle 18\% each year.
Calculate its value after 3 years.
Give your answer to the nearest pound.
Video solution coming soon
6
A forest covers an area of 320\displaystyle 320 hectares.
The area is decreasing by 6.5%\displaystyle 6.5\% each year.
Calculate the area of the forest after 4 years.
Give your answer rounded to 3 significant figures.
Video solution coming soon
7
£5000\displaystyle \pounds 5000 is invested in a fund.
The value increases by 4.5%\displaystyle 4.5\% in the first year, then decreases by 2.1%\displaystyle 2.1\% in each of the next 2 years.
Calculate the value of the fund after 3 years.
Give your answer rounded to 3 significant figures.
Video solution coming soon
8
2018 P2 Q1
(4, 2)6 Marks

Jack bought a car 3 years ago costing £1400.
The car has decreased in value by 13% each year.

(a) Calculate the current value of the car.
Give your answer to 2 significant figures.

Jack sells his car for £950.

(b) Calculate his loss as a percentage of the original price.

9
2019 P2 Q1
4 Marks

Sam buys a rare stamp for his stamp collection at an auction. He buys the stamp for £920.

The stamp increased in value by 7% in each of the first 2 years, and decreased in value by 4% in the third year.

Calculate the value of the stamp after these 3 years. Give your answer to 3 significant figures.

10
2022 P2 Q1
4 Marks

A soft drinks company currently have sales of 240 000 bottles per year.

It is predicted that sales will:

  • Decrease by 4.2% in the next year.
  • Increase by 5.3% in each of the following 2 years.

Calculate the predicted sales after 3 years.
Give your answer to 3 significant figures.

11
2023 P2 Q1
4 Marks

A lake had a volume of 14,730,000 litres.

Due to decreasing rainfall the volume of the lake is expected to decrease by 2.8% annually.

Calculate the expected volume of the lake after 3 years.

Give your answer to 3 significant figures.

12
2024 P2 Q1
4 Marks

A school currently has 1200 pupils.
The number of pupils is expected to increase by 5.3% each year for the next 4 years.
Calculate the expected number of pupils after 4 years.
Give your answer rounded to 3 significant figures.

13
2025 P2 Q2
4 Marks

Ayesha earns an annual salary of £46,900.
Following a pay deal, it is agreed that her annual salary will increase by 1.7% in each of the following 3 years.
Calculate Ayesha's annual salary after 3 years.
Give your answer rounded to 3 significant figures.

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