Question : A number is reduced by 10% and the resulting number is again decreased by 20%. What is the final percentage of decrease?
Option 1: 25%
Option 2: 26%
Option 3: 27%
Option 4: 28%
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Correct Answer: 28%
Solution : Let the original number be 100. The number is reduced by 10%, ⇒ 100 – 10% of 100 = 100 – (0.1 × 100) = 100 – 10 = 90 The resulting number is again decreased by 20%, ⇒ 90 – 20% of 90 = 90 – (0.2 × 90) = 90 – 18 = 72 Thus, the final percentage of the decrease = $\frac{100 - 72}{100}$ × 100 = 28% Hence, the correct answer is 28%.
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