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If the price of sugar rises from 6 per ...

If the price of sugar rises from 6 per kg to 7.50 per kg, a person having no increase in his expenditure on sugar, will have to reduce his consumption of sugar by

A

0.15

B

0.2

C

0.25

D

0.3

Text Solution

AI Generated Solution

The correct Answer is:
To solve the problem, we need to determine how much the person has to reduce his consumption of sugar due to the price increase while keeping his expenditure constant. ### Step-by-Step Solution: 1. **Identify the Initial and New Prices**: - Initial price of sugar = ₹6 per kg - New price of sugar = ₹7.50 per kg 2. **Calculate the Increase in Price**: - Increase in price = New price - Initial price - Increase in price = ₹7.50 - ₹6.00 = ₹1.50 per kg 3. **Let’s Assume the Person's Initial Expenditure**: - Let the initial expenditure on sugar be 'E'. - If the person buys 'x' kg of sugar at the initial price, then: \[ E = 6x \] 4. **Determine the New Quantity of Sugar Purchased**: - With the new price, the person can still spend the same amount 'E' but at the new price: \[ E = 7.50y \] - Where 'y' is the new quantity of sugar purchased. 5. **Set the Expenditures Equal**: - Since the expenditure remains the same: \[ 6x = 7.50y \] 6. **Express 'y' in Terms of 'x'**: - Rearranging the equation gives: \[ y = \frac{6x}{7.50} \] 7. **Calculate the Reduction in Consumption**: - The reduction in consumption is: \[ \text{Reduction} = x - y \] - Substitute 'y': \[ \text{Reduction} = x - \frac{6x}{7.50} \] - Simplifying this: \[ \text{Reduction} = x \left(1 - \frac{6}{7.50}\right) \] - Calculate \( \frac{6}{7.50} \): \[ \frac{6}{7.50} = 0.8 \] - Therefore: \[ \text{Reduction} = x(1 - 0.8) = 0.2x \] 8. **Conclusion**: - The person will have to reduce his consumption of sugar by 0.2 kg for every kg he initially purchased. ### Final Answer: The person will have to reduce his consumption of sugar by 0.2 kg.
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