1.

1). 2.42). 3.23). 2.84). 4

Answer»

We know that,

Revenue = PRICE × SALES

Let old price and sales be P and Q, respectively

Old revenue = PQ

NEW price = P × (1 + 10/100) = 1.1P

∴ New sales = Q × (1 - 12/100) = 0.88Q

New revenue = (1.1P)(0.88Q) = 0.968PQ

PERCENTAGE by which revenue has decreased = [(PQ - 0.968PQ)/PQ] × 100 = 3.2%



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