Question
The production of a company has ups and downs every
year. The production increases by 12% for one year and, in the next year, it decreases by 8%. This sequel continues. If counting is started from the year 2015, then what will the effect on the production of the company be in the year 2019? (Rounded up to 2 decimal places.)Â ÂSolution
Calculation:   - Let initial production (2015) = 100.   - 2016-2019 cycle:    - 2016: +12% → 112    - 2017: -8% → 103.04    - 2018: +12% → 115.4048    - 2019: -8% → 106.1724   - Net effect: (106.1724 - 100)/100 × 100 ≈ 6.17% increase. Â
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