If the length of a rectangle is increased by 20% and the width is decreased by 10%, what is the overall percentage change in the area?
Correct: A
Let's assume the original length is L and the original width is W. The original area is LW. If the length is increased by 20%, the new length is 1.2L. If the width is decreased by 10%, the new width is 0.9W. The new area is (1.2L)(0.9W) = 1.08LW. The area has increased by 8%.