• # question_answer The price of sugar goes up by 20%. By what percent must the consumption to be reduced so that expenditure does not increase? A)  $16\frac{2}{3}%$       B)  15%C)  $15\frac{2}{3}%$                   D)         16%

(a): Without loss of generality, let present consumption be C kg & price be "p" Rs/kg $\therefore Cost=C\times p$ Cost goes up by 20% = 1.2p Rs/kg Let new consumption be C $\Rightarrow C\times 1.2p=C\times p$ $\Rightarrow C=\frac{C}{1.2}=\frac{10C}{12}=\frac{5C}{6}$ $\therefore$ % age decrease in consumption $=\frac{C-\frac{5C}{6}}{C}\times 100%$ $=\frac{1}{6}\times 100%=16\frac{2}{3}%$