1. Percentages

Arguments that rely on statistics often make use of percentages. A percentage should always be given in terms of a percentage of something. If a percentage does not list the basis of the comparison, then the percentage tells you nothing. Percentages are commonly used improperly to give the impression that a different outcome was obtained than really occurred. This can happen when the percentage base is either misrepresented or omitted entirely.

the following scenario containing a misuse of percentages. Then answer the following questions about the way in which percentages are misused.

Suppose your annual salary is $50,000. Your employer decides to cut your salary by 10 percent due to decreased profit levels. The employer promises to raise your salary by 10 percent the following year when profit levels have stabilized.

What will your salary be after it has been lowered by 10 percent and then raised by 10 percent?

$50,500

$55,000

$49,500

$45,000

$50,000

This means that your salary will be blank than it was originally.

Answer is either higher or lower