The price (per litre) of petrol increases by 50%. By what percent should its consumption be reduced such that the expenditure on it increases by 41% only?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. 6%.
Let original consumption = 100 units
Original price = 100 units
Price increase = 50%, so new price = 150%
Expenditure increases by 41%, so new expenditure = 141%
Let new consumption = x% of original
New expenditure = new price × new consumption
150% × x% = 141%
1.5 × x = 1.41
x = 1.41 / 1.5 = 0.94 or 94%
Consumption reduced by = 100% − 94% = 6%