When the price of tea was increased by 25%, a family reduced its consumption in such a way that expenditure on tea was only 20% more than before. If 50 kg were consumed per month before, then find the new monthly consumption.
Answer & explanation
Correct answer: option 1
Expenditure = Price x Consumption
Old 100 100 x 1
New 120 125 x \(\frac{120}{125}\)
1 R → 50 kg
\(\frac{120}{125}\) → 50 x \(\frac{120}{125}\) = 48 kg