In a fair, the entrance ticket for Kids was Rs.16 and Rs.20 for adults. Every year, adult's cost increases by 25% more than kid’s increase rate. The rate of increase of ticket rate for Kids is 25%. What will be the difference of their ticket cost after 2 years?
Correct Answer: Option C
We are given that rate of increase of ticket cost for kids = 25%
Hence ticket cost after 1 year = Rs 16 + 25%of 16
= 16 + (25/100) × 16
= 16 + 4
= 20
Hence ticket cost after 2 years = Rs 20 + 25%of 20
= 20 + (25/100) × 20
= 20 + 5
= 25
Also we are given that ticket cost for adults = Rs 20
That rate of increase of ticket cost for adults = (25 + 25)%
= 50%
Hence ticket cost after 1 year = Rs 20 + 50%of 20
= 20 + (50/100) × 10
= 20 + 10
= 30
Hence ticket cost after 2 years = Rs 30 + 50%of 300
= 30 + (50/100) × 30
= 30 + 15
= 45
Difference of ticket cost = Rs 45 – Rs 25
= Rs. 20
Download our app for free and access thousands of MCQ questions with detailed solutions