the price of sugar is increased by 20 as a result..., Percentage, General Mathematics

Question:The price of sugar is increased by `20%`. As a result, a family decreases its consumption by `25%`. The expenditure of the family on sugar will be decreases by :

A `10%` 
B `5%` 
C `14%` 
D `15%`

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+ AnswerA

+ ExplanationLet original consumption`= 100 units & original price`= Rs. 100/unit.

Original expenditure

`= Rs. (100 xx 100)`

`Rs. 10000.`

New expenditure 

`= Rs. (120 xx 75)`

`= Rs. 9000.`

:. Decreases in expenditue

`= ((1000/10000 xx 100)%`

`= 10%`

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