The price of oil is increased by 25%. If the expenditure is not allowed to increase, the ratio between the reduction in consumption and the original consumption is :

a. 1 : 3
b. 1 : 4
c. 1 : 5
d. 1 : 6

• Let the price be Rs 10 per litre and the consumption be 10 Kg
  Given, increased price is 25% of 10 = 2.5 + 10 = Rs 12.5 per litre
  So, according to the question if the price is not allowed to increase then how much can be consumed on the original price that is Rs 10
  So, On 12.5 rupees the consumption is = 1 litre
  On 1 rupee the consumption is = 1/12.5
  On 10 rupees the consumption is = 1/12.5 X 10 = 4/5
  So, for Rs 10 we consume only 4/5 litre instead of 1 litre
  So, the reduction in consumption is 1 - 4/5 = 1/5
  Therefore reduction in consumption : original consumption
  That is, 1/5:1 = 1:5 is the answer
• 11 years agoHelpfull: Yes(5) No(0)
• As 25% increased i.e. 1/4
  we have to decrease the consumption by 1/(1+4)=1/5 i.e. 20%
  Reduction in consumption:original consumption=20:100
  =5:1
• 7 years agoHelpfull: Yes(2) No(1)
• ans.c
  price of oil incresed by 25%=1/4
  expenditure is not allowed to increse so=(1/1+4)=1/5(formula:1/(n+1)
  so the ans 1:5.
• 6 years agoHelpfull: Yes(0) No(0)
• c.1:5
• 6 years agoHelpfull: Yes(0) No(0)
• Reduction in consumption
  =(20/120×100)%=50/3%
  Reduction in consumption Original consumption=(50/3×1/100)
  =1/6=1:6
• 6 years agoHelpfull: Yes(0) No(0)
• 25% increased so the price is 125
  the expenditure is not increased
  so the consumption is=20%
  so the ratio is 20:100=1:5
• 6 years agoHelpfull: Yes(0) No(0)