When the price of cloth is decreased by 35%, the quantity of cloth sold increased by 45%. What was the effect on gross receipt of the shop?
Answer & explanation
Correct answer: option 1
Original : New
Price: 20 : 13 [35% = \(\frac{7}{20}\)]
Qty : 20 : 29 [45% = \(\frac{9}{20}\)]
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Receipt: 400 : 367
400 : 367 ⇒ 33 (decrease)
Decreased percentage = \(\frac{33}{400}\) × 100% = 8.25%