Successive Percentage Change
Successive Percentage Change
The concept of successive percentage change deals with two or more percentage changes applied to quantity consecutively. In this case, the final change is not the simple addition of the two percentage changes (as the base changes after the first change).
Suppose a number N undergoes a percentage change of x % and then y%, the net change is:
Here, z is the effective percentage change when a number is changed successively by two percentage changes.
Various cases for Percentage Change:
Both percentage changes are positive:
One percentage change is positive and the other is negative:
Both percentage changes are negative:
Percentage Change involving three changes:
If value of an object/number P is successively changed by x%, y% and then z%, then final value.
Illustration 1: A’s salary is increased by 10% and then decreased by 10%. The change in salary is
Solution: As firstly salary increases, thus use positive sign and then salary decreases, so use negative sign
Percentage change formula when x is positive and y is negative is given by
Here, x = 10, y = 10
As negative sign shows a decrease, hence the final salary is decreased by 1%.
Illustration 2: A number is first increased by 10% and then it is further increased by 20%. The original number is increased altogether by?
Solution : Percentage change formula when both x and y are positive =
Here, x = 10 and y = 20
Hence net percentage change
As positive sign shows increase, Hence, The original number is increased altogether by 32 %.
When the price of article was reduced by 20% its sale increased by 80%. The net effect on the revenue is _________________. | |||
| Right Option : A | |||
| View Explanation | |||
Two successive price decrease of 30% and 30% of an article are equivalent to a single price increase of ______________ | |||
| Right Option : C | |||
| View Explanation | |||
Two successive price increase of 20% and 20% of an article are equivalent to a single price increase of ______________ . | |||
| Right Option : A | |||
| View Explanation | |||
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