When the price of sugar gets raised by 30 a person increases his expenditure on sugar only by 12 By ...........

Quantitative Aptitude (MTS) Profit and loss

When the price of sugar gets raised by 30%, a person increases his expenditure on sugar only by 12%. By what percentage (

correct up to two decimal places) should he reduce his consumption of sugar so as to be able to maintain the same level of

expenditure?

This questions was previously asked in

SSC MTS 20th October 2021 Shift-2

12.75%

13.85%

11.54%

15.75%

- A person faces a 30% increase in sugar prices.

- His objective is to keep expenditure constant despite this rise.

- He increases his expenditure by 12% due to the price hike.

- Therefore, he needs to reduce consumption to balance.

- Calculate required reduction: NewConsumption = OldConsumption × OldPrice/NewPrice.

- NewPrice = 1.3 × OldPrice.

- NewConsumption = OldConsumption / 1.3.

- Find reduction percentage: (1 - (NewConsumption / OldConsumption)) × 100.

- Result: 13.85% reduction needed.

Correct Answer: Option 2, 13.85%

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