If price is decreased by 5 percent, then by how much percentage consumption should be increased, so that the expenditure remains the same?
Show answer & explanation
Correct answer: D
Explanation
The correct answer is Option 4 i.e. 5.2%.
Let the original price be Rs. 100
The price is decreased by 5% so,
Price = 100 × 95% = Rs. 95
Now,
Required percentage = (100 - 95)/95 × 100
⇒ 5/95 × 100 = 5.2%