Answer:
New Amount = $9.8
Step-by-step explanation:
Original amount = $ 7
Percentage increase = 40%
Increase in amount = [tex]40\% \ of\ 7 = \frac{40}{100}\times 7=\frac{280}{100}[/tex] = [tex]\$2.8[/tex]
New amount = [tex]\textrm{Original amount + Increase}[/tex] = [tex]\$7+\$2.8=\$9.8[/tex]
New Amount = $9.8
