You see a used car you wish to buy. The dealer quotes you a price of $1,595. You have a Blue Book quotation of $1,435 for the same model and year. How much greater (%) is the dealer's price from the Blue Book?

1 answer

To find out how much greater the dealer's price is compared to the Blue Book price, you can use the following formula to calculate the percentage difference:

\[ \text{Percentage difference} = \left( \frac{\text{Dealer's Price} - \text{Blue Book Price}}{\text{Blue Book Price}} \right) \times 100 \]

Given:

  • Dealer's Price = $1,595
  • Blue Book Price = $1,435

First, calculate the difference between the dealer's price and the Blue Book price:

\[ \text{Difference} = 1,595 - 1,435 = 160 \]

Now, plug this difference into the percentage difference formula:

\[ \text{Percentage difference} = \left( \frac{160}{1,435} \right) \times 100 \]

Calculating this gives:

\[ \text{Percentage difference} \approx \left( 0.111 \right) \times 100 \approx 11.11% \]

Thus, the dealer's price is approximately 11.11% greater than the Blue Book price.