Question

The price of a commodity is increased by 40%By what percent should a consumer reduce the consumption so that his expenditure on the commodity remains constant?​

Answer 1

Answer:

28.57

Step-by-step explanation:

Let initially consumers consumes x amount in RS.100x

after price increase by 40%,

Now consumers consumes y amount in RS.140y

According to the question, 100x=140y

⟹

x

y

=

140

100

⟹1−

x

y

=1−

140

100

⟹

x

x−y

=

140

140−100

%Decrease in comsumption=

x

x−y

×100=

140

40

×100=28.57%