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GB-14-05-001 · Successive percentage changes

A price is reduced by 15% and then by a further 36%. Lee says the overall reduction is 51%. Is Lee correct? Show calculations to support your answer.

Successive Percentage Changes Booklet p. 52
Method
1) Find each decimal multiplier ((100 − %)/
1
0
0)
2) Multiply the multipliers together to find the combined multiplier
3) Subtract from 1
Worked Example (GB-14-05-001)
Booklet p. 51–52: Original Amount×(100±%100)Time=New Amount\mathbf{\text{Original Amount} \times \left(\frac{100 \pm \%}{100}\right)^{\text{Time}} = \text{New Amount}}
1) Combined multiplier = 0.85 × 0.64.
2) 45.60% reduction.
3) No, the second reduction is a percentage of the reduced price.
No. The reduction is 45.60%.