Question

The cost of a certain types of TV set of a certain company was quoted as ₹ 7500 at the beginning of the business. After 1 year the price was hiked by 5%.After 2 years, the price was reduced by 4% due to decrease in demand. What was the cost of the TV set after 2 years?

Answer 1

Initial price = ₹7500

After 1 year price was hiked by 5%,

So price after 1 year,

7500 + (75 x 5) = ₹7875

Now, after 2 years price was reduced by 4%

So price after 2 year,

7875 - (78.75 x 4) = ₹7560

Answer:
Final price after 3 years = ₹7560