If the price of a product is first increased by 15%, and then decreased by 20%, then what is the percent change in the price?
Answer & explanation
Correct answer: option 4
Let the price = 100x
Increase of 15% = 100x + 100x ×\(\frac{15}{100}\) = 115x
Decrease of 20% = 115x × \(\frac{80}{100}\) = 92x
Overall increase = 100x - 92x = 8x
Required percentage = \(\frac{8x}{100x}\) × 100 = 8%