Question
A person’s monthly salary is Rs 25,000. It is
increased by 20% and then decreased by 10%. What is his final salary and overall percentage change?Solution
Initial salary = 25,000 After 20% increase: Increase = 20% of 25,000 = 0.20 × 25,000 = 5,000 New salary = 25,000 + 5,000 = 30,000 Then 10% decrease: Decrease = 10% of 30,000 = 0.10 × 30,000 = 3,000 Final salary = 30,000 − 3,000 = 27,000 Net change = 27,000 − 25,000 = 2,000 increase Percentage change = (2,000 / 25,000) × 100 = 8% Answer: Final salary = Rs 27,000; overall increase = 8%.
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