Question
The cost of tea increased by 25%, so Meena reduced her
consumption by 20%. Calculate the percentage change in her expenditure on tea.Solution
ATQ,
Let initial tea price be Rs. 100a and initial consumption be 100b grams
Initial expenditure = 100a × 100b = Rs. 10000ab
New expenditure = (1.25 × 100a) × (0.80 × 100b) = Rs. 10000ab
Required percent = [(10000ab - 10000ab) ÷ 10000ab] × 100 = 0% (no change)
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