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Question

The number 4000 is first increased by 25% and then decreased by 30%. This results in from the initial value.
  1. 10% increase
  2. 12.5% increase
  3. 12.5% decrease
  4. 5% decrease


Solution

The correct option is C 12.5% decrease

Initial value = 4000

25% of 4000 = Increase
25100×4000 = Increase
Increase = 1000

Value after 25% increase
= Initial value + Increase
= 4000 + 1000 = 5000

30% of 5000 = Decrease
30100×5000 = Decrease
 Decrease = 1500

Value after 30% decrease
= Value after 25% increase - Decrease
= 5000 - 1500 = 3500

Since, the resulting value is less than the initial value,

overall decrease = 4000 - 3500 = 500

Decrease % = 5004000×100 = 12.5%

Therefore, there is a decrease of 12.5% from the initial value.

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