The salary of an employee is reduced by 80% and then the reduced salary is increased by 80%. The percentage loss in the salary of the employee is:
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. 64%.
Let original salary = 100
Reduced by 80% → 100 - 80 = 20
Increased by 80% → 20 + (80% of 20) = 20 + 16 = 36
Loss = 100 - 36 = 64
= 64% loss