The price of pulses has increased by 25%. The percentage of reduction that a family should effect in the use of pulses so as not to increase the expenditure on this account is ?

The price of pulses has increased by 25%. The percentage of reduction that a family should effect in the use of pulses so as not to increase the expenditure on this account is ?

A 16%

B 20%

C 84%

D 72%

Solution

Correct Answer: Option B

Reduction in consumption

= \(\frac{\mathbf P}{\mathbf{100}\boldsymbol+\mathbf P}\) X 100%

= \(\frac{\mathbf{25}}{\mathbf{100}\boldsymbol+\mathbf{25}}\) X 100%

= 20%