If the price of petrol increased by 7%, then by what percentage should the consumption be decreased by the consumer, if the expenditure on petrol remains unchanged?
Show answer & explanation
Correct answer: A
Explanation
The correct answer is option 1 i.e. %.
Given:
Petrol price increased by 7%
Expenditure on petrol is the same
Concept used:
Expenditure = Price × Consumption
Calculation:
Price (Old - new) = 100 - 107
Consumption (old - new) = 107 - 100
Percentage decrease in consumption = (7/107) × 100 = %