Company X's sales increased by 20% from Q1 to Q2, and then decreased by 10% from Q2 to Q3. If Q1 sales were $100,000, what were Q3 sales?

✓ Correct Answer: Option A

Q1 sales = $100,000. Q2 sales = $100,000 * (1 + 0.20) = $120,000. Q3 sales = $120,000 * (1 - 0.10) = $120,000 * 0.90 = $108,000.