The price of an item was increased by 10%. This reduced the monthly total sales by 20%. The overall effect on the value of monthly sales is a
Options:
A . 10% increase
B . 12% increase
C . 12% decrease
D . 10% decrease
Answer: Option C Answer: (c) Required percentage change = $(10 - 20 + {10 × (-20)}/100)$% = –12% Negative sign shows decrease. Using Rule 4, If a number is increased by a% and then it is decreased by b%, then resultant change in percentage will be $(a - b - {ab}/100)$% (Negative for decrease, Positive for increase)
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