Question

The price of petrol is increased by $25$%. By how much precent a car owner should reduce his consumption of petrol so that the expenditure on petrol would not be increased?

• A. $25$%
• B. $30$%
• C. $50$%
• D. $20$%

Answer 1

The correct option is D $20$%

Let us assume that cost of petrol before increase is $Rs.100$.

So cost after increase becomes $Rs.125$

Increase in expenditure is $Rs.25$.

Therefore, consumption of petrol should decrease by, $=\frac{25}{125}\times 100=20\%$