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\frac{5}{40}\times 1
Divide 100 by 100 to get 1.
\frac{1}{8}\times 1
Reduce the fraction \frac{5}{40} to lowest terms by extracting and canceling out 5.
\frac{1}{8}
Multiply \frac{1}{8} and 1 to get \frac{1}{8}.