The price of CNG is increased by 12%. By what percentage (correct up to two decimal places) must Shalini reduce consumption of CNG for her car so that there is no increment in her expenditure on CNG?

Correct option is C

Given:

Price of CNG increased by 12%

Solution:

Let the price of CNG be Rs100

Increased price = 100 + 12% of 100  = Rs. 112

Reduction on Rs 112 = Rs. 12

Reduction on Rs.1  = $$\frac{12}{112}$$​​

Reduction on Rs 100 = $$\frac{12}{112}\times 100 = 10.71\%$$