Question
The price of a commodity is increased by 25% and then
decreased by 20%. What is the net percentage change in the price?Solution
Assume original price = 100. After 25% increase β 125 After 20% decrease β 125 β 0.2Γ125 = 125 β 25 = 100 Net change = final β initial = 100 β 100 = 0 So there is no net percentage change (0%).
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