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A number is first decreased by 5% and then increased by 5%. What will be the net increase or decrease?
Question

A number is first decreased by 5% and then increased by 5%. What will be the net increase or decrease?

A.

0.25% decrease

B.

No increase or decrease

C.

25% decrease

D.

0.25% increase

Correct option is A

Given:

A number is first decreased by 5% and then increased by 5%.
Formula Used:
When a value is changed successively by x% and then y%, the net change (%) is:

Net Change = x+y+xy100x + y + \frac{xy}{100}

Solution:

Net Change =5+5+(5)(5)100 -5 + 5 + \frac{(-5)(5)}{100}

Net Change = 025100=0.25%0 - \frac{25}{100} = -0.25\%

Net decrease of 0.25%.

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