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The area of a parallelogram is calculated by multiplying the base by the height.
The original parallelogram has a base and height both equal to 5 inches. So, the area of the original parallelogram is 5 inches x 5 inches = 25 square inches.
For the new parallelogram, the base is 5 inches longer (5 + 5 = 10 inches) and the height is 5 inches taller (5 + 5 = 10 inches). So, the area of the new parallelogram would be 10 inches x 10 inches = 100 square inches.
Therefore, the correct answer is B) 260 in2.