Question

the price of sugar first increased by 20%.one month later the price decreases by 20%.the net change in the price is. (a) no change. (b) increase by 2% (c) decrease by 2% (d) decrease by 4%

Answer 1

Hi friend!

Answer:

(d) decrease by 4%

Solution:

Increase by 20% → 100% + (20% of 100%)
= 100% + 20%
= 120%

Decrease by 20% on new price ↓
20% of 120 = 20/100 × 120 = 24
Decrease on that = 120 - 24 = 96%

96% is 4% less than 100% (the actual value is always 100%).
$Therefore, there was a net <b>decrease of 4%</b>.$

Hope you found my answer helpful. Keep Smiling!