The price of cooking oil has increased by 25%. The percentage of reduction that a family should effect in the use of cooking oil, so as not to increase the expenditure on this account, is

Answer : Option B

Explanation :

Percentage decrease $=frac{r}{100+r} imes 100 \%$ $=frac{25}{125} imes 100=20 \%$ Alternative : Expenditure = Price × Consumption (let) Consumption $=frac{1000}{125}=8$ Percent reduction in consumption $=frac{10-8}{10} imes 100=frac{2}{10} imes 100=20 \%$ Alternative:

Percent reduction in consumption

$=frac{25}{125} imes 100=20 \%$