In 2016, the price of a refrigerator increased by 5%, and in 2017, it decreased by 5%. At the end of the year 2017, its price was ₹47,880. What was its price at the beginning of the year 2016?
Show answer & explanation
Correct answer: D
Explanation
The correct answer is option 4 i.e ₹48,000.
Let the initial price = x
After 2016 (5% increase): price = x × 105/100 = 1.05x
After 2017 (5% decrease): price = 1.05x × 95/100 = 0.9975x
Given final price = 47,880
So, 0.9975x = 47,880
x = 47,880 ÷ 0.9975 = 48,000
Initial price at the beginning of 2016 = ₹48,000