(A) If a product's price is decreased by 25 % and then increased by 20 %, then the net change in the price of the product, is : decrease by 10%
(B) If a product's price is increased by 15 % and then again increased by 20 %, then the net change in the price of the product, is : Increase by 38 %
Choose the correct option(s):
(A) If a product's price is decreased by 25 % and then increased by 20 %, then the net change in the price of the product, is : decrease by 10%
(B) If a product's price is increased by 15 % and then again increased by 20 %, then the net change in the price of the product, is : Increase by 38 %
Choose the correct option(s):
Solution
Checking Statement (A): Price decreased by 25%, then increased by 20%
Starting with ₹100 as the original price.
After 25% decrease:
25% of ₹100 = ₹25
New Price = ₹100 - ₹25 = ₹75
After 20% increase on ₹75:
20% of ₹75 = ₹15
Final Price = ₹75 + ₹15 = ₹90
Net change:
Started with ₹100, ended with ₹90
Loss = ₹10
Net change = decrease
Statement (A) is correct.
Checking Statement (B): Price increased by 15%, then increased by 20%
Starting with ₹100 as the original price.
After 15% increase:
15% of ₹100 = ₹15
New Price = ₹100 + ₹15 = ₹115
After 20% increase on ₹115:
20% of ₹115 = ₹23
Final Price = ₹115 + ₹23 = ₹138
Net change:
Started with ₹100, ended with ₹138
Profit = ₹38
Net change = increase
Statement (B) is correct.
Both statements (A) and (B) are correct.
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