Question

19. Because of rising costs, a chip seller feels, she must either increase the prices by 20% or reduce the amount
of chips in a bag by 20%. Which is better, if at the moment the charges are * 15 for 50 g and why?​

Answer 1

The second option is better because tue cost of 50 grams is chips is Rs 18.75

GIVEN

Cost of 50 grams of chips = 15 Rs

TO FIND

Which option is better.

SOLUTION

We can simply solve the above problem as follows;

In the first case, if cost is increased to 20% ;

Cost of 50 grams of chips = Rs 15

New Cost Price = 20 % of 15 + 15

= 3 + 15 = Rs 18

This means that 50 grams of chips will now cost Rs 18.

In the second case.

Weight of chips = 50 - 20% of 50 = 50 - 10 = 40 grams

So,

Cost of 40 grams of chips = Rs 15

Cost of 50 grams of chips = (15/40)×50 = Rs 18.75

We can see that there is more profit in the second case.

Hence, The second option is better because tue cost of 50 grams is chips is Rs 18.75

#SPJ1