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    • Question

      A refrigerator depreciates in value by 18% in the first

      year and then 12% in the next year. If its price after 2 years is Rs. 25,872, what was its initial price?
      A ₹35,850 Correct Answer Incorrect Answer
      B ₹41,656 Correct Answer Incorrect Answer
      C ₹46,600 Correct Answer Incorrect Answer
      D ₹36,656 Correct Answer Incorrect Answer

      Solution

      ATQ,

      Net percentage change = –18% –12% + {[(–18%) × (–12%)]/100}%= –30% + 2.16% = –27.84%

      Let present value be Rs. ‘x’

      Then, 72.16% of x = 25872

      Or, 0.7216 × x = 25872

      Or, x = 25872 / 0.7216 = 35850

      So, the initial price of the refrigerator = Rs. 35,850

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