The price of a car is first increased by 35% and after that the price is decreased by 25% due to reduction in sales. What is the net percentage change in final price of the car?

Increases by $1\frac{1}{4}$%

Net Percentage change = a + b + \(\frac{ab}{100}\)

= + 35%  - 25% - \(\frac{35×25}{100}\)% = \(\frac{5}{4}\)%

= + 1\(\frac{1}{4}\)% ( increase )