Question

Salary of a person is first increased by $20$%, then it is decreased by $20$%. Change in his salary is

• A. $4$% decrease
• B. $4$% increase
• C. $8$% decrease
• D. $20$ % increase

Answer 1

The correct option is A $4$% decrease

Let the salary of the person be Rs. $100$
After $20\%$ increment, the salary will be Rs. $120$
Again $20\%$ decrement, now the salary will be$120-\frac{20}{100}\times 120=$ Rs. $96$
$\therefore \%$ change in salary is equal to $\frac{100-96}{100}\times 100=4$ $\%$.