If the price of kerosene be raised by 11%, find by how much per cent a householdermust reduce his consumption of kerosene so as not to increase his expenditure?a)11%b)9.9%c)11.09%d)8.25%Correct answer is option 'B'. Can you explain this answer?

Question

Answer

To find the percentage by which a householder must reduce his consumption of kerosene in order to not increase his expenditure, we can use the concept of inverse proportionality.

Let's assume the initial consumption of kerosene by the householder is 100 units, and the initial price per unit is $x.

1. Calculate the initial expenditure:
Initial Expenditure = Initial Consumption * Initial Price per unit = 100 * x = 100x

2. Calculate the new price per unit after a price increase of 11%:
New Price per unit = Initial Price per unit + (11% of Initial Price per unit)
= x + (0.11x)
= 1.11x

3. Calculate the reduced consumption:
Let's assume the householder reduces his consumption by y%.

New Consumption = Initial Consumption - (y% of Initial Consumption)
= 100 - (0.01y * 100)
= 100 - y

4. Calculate the new expenditure:
New Expenditure = New Consumption * New Price per unit
= (100 - y) * 1.11x

According to the given condition, the new expenditure should be equal to the initial expenditure.

5. Set up the equation:
100x = (100 - y) * 1.11x

6. Simplify the equation:
100 = 100 - y
y = 0

Since we want to find the percentage by which the householder must reduce his consumption, we can see that the value of y is 0. This means that the householder does not need to reduce his consumption at all to maintain the same expenditure.

Therefore, the correct answer is option 'B' - 0% reduction in consumption.

Similar Defence Doubts

If the price of kerosene be raised by 9%, find how much percent a house holder must reduce his consumption of kerosene so that not to increase his expenditure

The price of a certain item is increased by 15%.If a consumer wants to keep his Expenditure on the item the same as before, how much per cent must he reduce his Consumption of that item?

If the price of sugar is increased by 10%, then by how much percent consumption should be reduced so that the expenditure remains the same?

If the price of sugar is increased by 10%, then by how much percent consumption should be reduced so that the expenditure remains the same?

The price of onions increases by 25%, by what percent should a housewife reduces theconsumption so that expenditure on onions can be same as before?

Top Courses for Defence

Suggested Free Tests

Related Content

Schools

Competitive Examinations

Quick Access Links

Technical Exams