QUESTION

CSAT

Easy

Maths

Prelims 2022

The increase in the price of a certain item was $25\%$ . Then the price was decreased by $20\%$ and then again increased by $10\%$ . What is the resultant increase in the price?

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Explanation

Initial Price: Let the original price of the item be $100$ (assuming this as a base for simplicity).
First Increase of 25%: New price = $100 + ( 25\% \times 100 ) = 100 + 25 = 125$
Decrease of 20% on the New Price: New price = $125 - (20\% \times 125) = 125 - 25 = 100$
Final Increase of 10% on the New Price: New price = $100 + (10\% \times 100) = 100 + 10 = 110$
Resultant Increase: The final price is $110$ . Increase from the original price = $110 - 100 = 10$ .