Question

When I went home and started to read the book, I found that the story in the book was about two characters, John and Jim fighting over a settlement. John says that the amount Jim owes him has increased by 10% over the previous amount, i.e., Rs 500. Jim says that he will give John whatever amount he obtains after multiplying $\frac{110}{100}$ to Rs 500. What can you say if you have to intervene?

• A. John is fighting because JIm is going to pay him lesser than what he owes John.
• B. Jim is fighting because John is asking for more than what Jim can pay John.
• C. They need not fight. John is asking for the amount Jim is ready to pay. They are equal
• D. We can't say anything really

Answer 1

The correct option is C They need not fight. John is asking for the amount Jim is ready to pay. They are equal

John says Jim has to pay him 10% extra over the Rs 500 he already owed

So the new price is equal to Rs 500 + 10% of Rs 500

=$Rs500+\frac{10}{100}\times Rs500$ = Rs 500 + Rs 50 = Rs 550

Jim says that he will pay John whatever amount he obtains after multiplying $\frac{110}{100}$ to Rs 500.

The amount Jim obtains is $\frac{110}{100}\times Rs500=Rs550$

So Jim is going to pay John the exact amount he owes him. So there is no need to fight over this.

This is because, when there is an increase in 10% over Rs 500, the new amount will be $\frac{100+10}{100}\times Rs500=\frac{110}{100}\times Rs500=Rs550$.