The price of an article is first decreased by 40% and then increased by 20%. The net change in the price will be || ADRE 1.0 SLRC 2022 PAPER-III SOLVED QUESTIONS

The price of an article is first decreased by 40% and then increased by 20%. The net change in the price will be:

(A) 20% 

(B) 40% 

(C) 24% 

(D) 28%



Solution:

Let's solve the problem step by step.

1. Initial price of the article: 

  • Let's assume the initial price is P. 
2. Decrease the price by 40%:
  • Decreased price= 

= P - 40/100P

= 0.60P

3. Increase the decreased price by 20%:

  • New price after 20% increase

= 0.60P + 0.20 × 0.60P

= 0.60P + 0.12P

= 0.72P

4. Calculate the net change in the price:
  • Net change= New price - Initial price

= 0.72P-P

= - 0.28P

  • Net change in percentage

= -0.28P/P × 100

= 28%

Therefore, the net change in the price is a decrease of 20%. So the correct answer is: (D) 28%


Why this question is important?
  • Builds understanding of percentage change.
  • Enhances problem-solving skills.
  • Applies to real-world scenarios.
  • Improves exam readiness.
  • Previously asked in ADRE SLRC 2022 Paper III for Grade-III Post.

Comments