If the price of the commodity is increased by 50% by what fraction must its consumption be reduced so as to keep the same expenditure on its consumption?
A. $$\frac{1}{4}$$
B. $$\frac{1}{3}$$
C. $$\frac{1}{2}$$
D. $$\frac{2}{3}$$
Answer: Option B
Solution(By Examveda Team)
Let the initial price of the commodity be 100. After 50% increase in price, It will become,100 ------50% increase----> 150.
Now, we have to reduce the consumption to keep expenditure 100. Increase in price= 150 - 100 = 50
We have to reduce the consumption,
$$\eqalign{ & = \frac{{50}}{{150}} \times 100 \cr & = \frac{1}{3}{\text{ or 33}}{\text{.33}}\% \cr} $$ Other Method:
Here, we use, Final product constant graphic.
100 ==50% up== 150===33.33% down===>100 Consumption Reduce = 33.33% = $$\frac{1}{3}$$
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Comments ( 3 )
Related Questions on Percentage
A. $$\frac{1}{4}$$
B. $$\frac{1}{3}$$
C. $$\frac{1}{2}$$
D. $$\frac{2}{3}$$
33 1/3 will be answer
Why we have divided by 150 while finding percent
How it is 1/3
Actually its 100/3