A man's ‘working hours per day were increased by 35% and his wages per hour were decreased by 25%. By what percentage were his daily earnings increased?

Correct option is C

Given:

Decrease in wages per hour = 25%

Formula Used:

Increase in working hours = 35%

Daily earnings = Working hours per day × Wages per hour

After the decrease of 25% in wages per hour, new wages per hour = 100 - 25 = Rs. 75.

Solution:
Let the original working hours per day be 100 hours and the wages per hour be Rs. 100.

Original daily earnings = 100 × 100 = Rs. 10,000.

After the increase of 35% in working hours, new working hours = 100 + 35 = 135 hours. New daily earnings = 135 × 75 = Rs. 10,125.

Percentage increase in daily earnings = [(New earnings - Original earnings) / Original earnings] × 100
= [(10,125 - 10,000) / 10,000] × 100
= (125 / 10,000) × 100 = 1.25%

Therefore, the daily earnings increased by 1.25%.