The price of the sugar goes up by 30%. By what percent should Sita reduce her consumption so that the expenditure does not increase?

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RRB ALP CBT I 29 Aug 2018 Shift 1 Official Paper
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  1. 23%
  2. 22%

Answer (Detailed Solution Below)

Option 1 :
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Detailed Solution

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Given:

Increase % in the price of sugar = 25% 

Formula used:

Expense = Price × Quantity 

Calculation:

Let the initial expenses on sugar was Rs.100

Now, the price rises by 30%

New price = (100 + 100 × 30%) = 130

In order to keep the expense unaltered, Rs.30 has to be cut from Rs.130. 

⇒ 130 - 30 = 100 

∴ The decrease in the consumption = 30/130 × 100 = 

Shortcut Trick

100 →  + 30% → 130 _____ - Y% → 100 

Now, Y = 30/130 × 100 = 

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