A shop reduced its prices by `10%`. What is the new price of an item which was previously sold for Rs 500 ?

Answer

To find the new price of an item after a 10% reduction, we can follow these steps:

### Step-by-Step Solution:

1. **Identify the Original Price:**
The original price of the item is Rs 500.

2. **Calculate the Amount of Reduction:**
To find the amount of reduction, we need to calculate 10% of the original price.
\[ \text{Amount of Reduction} = 10\% \text{ of } 500 = \frac{10}{100} \times 500 \]

3. **Perform the Calculation:**
\[ \frac{10}{100} \times 500 = \frac{10 \times 500}{100} = \frac{5000}{100} = 50 \]
So, the amount of reduction is Rs 50.

4. **Calculate the New Price:**
To find the new price, subtract the amount of reduction from the original price.
\[ \text{New Price} = \text{Original Price} - \text{Amount of Reduction} \]
\[ \text{New Price} = 500 - 50 = 450 \]

5. **Final Answer:**
The new price of the item after the 10% reduction is Rs 450.