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The price of an article was decreased by...

The price of an article was decreased by 10% and again reduced by 10%. By what percent should the price have been reduced once, In order to produce the same effect as these two successive reductions?

A

0.15

B

0.1

C

0.2

D

0.25

Text Solution

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The correct Answer is:
To solve the problem of determining the single percentage reduction that would have the same effect as two successive 10% reductions, we can follow these steps: ### Step-by-Step Solution: 1. **Initial Price Representation**: Let the initial price of the article be represented as \( P \). 2. **First Reduction**: The first reduction is 10%. Therefore, the price after the first reduction can be calculated as: \[ \text{Price after first reduction} = P - 0.10P = 0.90P \] 3. **Second Reduction**: The second reduction is also 10%, but this time it is applied to the new price \( 0.90P \). The price after the second reduction can be calculated as: \[ \text{Price after second reduction} = 0.90P - 0.10(0.90P) = 0.90P \times 0.90 = 0.81P \] 4. **Total Reduction Calculation**: Now, we need to find the total reduction from the original price \( P \) to the final price \( 0.81P \). The reduction in price is: \[ \text{Reduction} = P - 0.81P = 0.19P \] 5. **Percentage Reduction**: To find the percentage reduction, we calculate: \[ \text{Percentage Reduction} = \left( \frac{\text{Reduction}}{\text{Original Price}} \right) \times 100 = \left( \frac{0.19P}{P} \right) \times 100 = 19\% \] ### Final Answer: The price should have been reduced by **19%** to produce the same effect as the two successive reductions of 10%.
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