1. **State the problem:** We have a cylindrical can with original radius $r = x$ cm and height $h = x$ cm. 2. **Original volume formula:** The volume $V$ of a cylinder is given by $$V = \pi r^2 h$$ For the original can, $$V = \pi x^2 x = \pi x^3$$ 3. **New volume expression:** The company changes the can dimensions, and the new volume is $$V = \pi (x + 2)^2 (x - 1)$$ 4. **Interpret the changes:** The new radius is $r_{new} = x + 2$ cm (since radius is squared in the formula). The new height is $h_{new} = x - 1$ cm. 5. **Compare changes:** - Radius change: from $x$ to $x + 2$ means radius increased by 2 cm. - Height change: from $x$ to $x - 1$ means height decreased by 1 cm. 6. **Conclusion:** The correct statement is: **C. The radius increased by 2 cm, and the height decreased by 1 cm.**