SOLUTION: The price of a book increases by 25%. How much would the price now have to decrease to be the same as it was before? (A) 20% (B) 25% (C) 40% (D) 50% (E) Not enough information

Algebra ->  Percentage-and-ratio-word-problems -> SOLUTION: The price of a book increases by 25%. How much would the price now have to decrease to be the same as it was before? (A) 20% (B) 25% (C) 40% (D) 50% (E) Not enough information       Log On


   

Question 314470: The price of a book increases by 25%. How much would the price now have to decrease to be the same as it was before?
(A) 20% (B) 25% (C) 40% (D) 50% (E) Not enough information
Answer by malaydassharma(59) About Me  (Show Source):
You can put this solution on YOUR website!
Let the price of the book is 100
So, after increasing 25 % , the price is 100+ 25=125
Now , to reduce the price from 125 to 100 , we have to calculate the % for 25 on 125. Means,
At 125 reduction is 25
At 1 reduction is 25/125
At 100 reduction is 25 *100/125 = 20
Hence, price is to be reduced by 20% [Ans (A)]