When the price of rice is increased by 25 percent a family reduces its consumption such that the exp...........

Quant (SSC) Percentage

When the price of rice is increased by 25 percent, a family reduces its consumption such that the expenditure is only 10 percent more than before. If 40 kg of rice is consumed by family before, then find the new consumption of family.

35.2

39.2

36.2

37.2

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Explanation:

Suppose initially price per kg of rice is 100 then their expenditure is 4000.
Now their expenditure is only increased by only 10% i.e – 4400.
Increased price of rice = 125.
So new consumption = 4400/125 = 35.2