Question : If the price of a book first increased by 18% and then decreased by 18%. What is the net change in the price of the book?
Option 1: 18% increase
Option 2: 3.24% decrease
Option 3: No change
Option 4: 18% decrease
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Correct Answer: 3.24% decrease
Solution : Increase in percentage = 18% Decrease in percentage = 18% We know that, If the increase and decrease percentage is the same, the overall percentage decreases by $\frac{x^2}{100}$, where $x$ is the percentage increase and decrease. = $\frac{x^2}{100}$ = $\frac{18\times18}{100}$ = $\frac{324}{100}$ = 3.24% (decrease) Hence, the correct answer is a 3.24% decrease.
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