Question
If the price of a fruit basket is reduced by 35%, by what
percentage should a family increase its consumption of fruits to ensure that their total expenditure on fruits remains unchanged?Solution
ATQ;
Let initial price of fruit basket be Rs. 100 per kg and initial consumption be 1 kg
So, initial total expenditure = Rs. 100
Reduced price of fruit basket = {100 β (35% of 100)} = Rs. 65
So, new consumption = {100/65} = (20/13) kg
Therefore, percentage increased = [{(20/13) β 1}/1] Γ 100 = 53.85%
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