A's salary is 40% more than B's. If B's salary increases by 20% and A's increases by x%, then A's new salary becomes 25% more than B's new salary. What is the value of x?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. 7.14%
Let B = 100
A = 100 + 40 = 140
B new = 100 × 120/100 = 120
A new = 140 × (100 + x)/100
A new = 125% of B new
140 × (100 + x)/100 = 120 × 125/100
140 × (100 + x)/100 = 150
140 × (100 + x) = 150 × 100
140 × (100 + x) = 15000
100 + x = 15000 / 140
100 + x = 107.14
x = 7.14