Akash Singha Roy

Problem:

A worker suffers a % cut in wages. He regains his original pay by obtaining a rise of

(A) %

(B) %

(C) %

(D) %

Solution:

Let the original pay be Rs. (freedom of choice of unit) .

Then, new pay % of Rs. Rs. % of x = Rs. \( \frac{4x}{5}\)

and, decrease in pay % of Rs. x =

Therefore, to regain the original pay, there must be a 20 % increase in the new pay and this increase has to be done WITH RESPECT TO THE NEW PAY* *as in this case, the new pay obtained in the precious case ( which is ) becomes the ORIGINAL PAY* *for the tabulation of the new pay in the second case (when the pay is again increased).

This implies that the required increase in pay must be times 100 % = 25 %

Therefore, option (C) is the correct option.