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The price of a phone has increased by 25%. After a month the price of the phone dropped by 20%. What was the price of the phone before the price changes if the phone now costs $ 1000?
We note with y the unknown value.
We find out the price before it drops
80y = 100000
y = 1250
1250 - 250 = 1000
We find out the price before it increase
125y = 125000
y = 1000
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