In 1978, a kg of paper was sold at Rs25/-. If the paper
rate increases at 1.5% more than the inflation rate which
is 6.5% a year, then what wil be the cost of a kg of paper
after 2 years? give me the steps plz......
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Answer Posted / chris
25.6 ish.
Depends wether it means 1.5% as a percentage of the paper
rate or as a percentage of the 6.5% inflation on the paper
rate. In the case of the latter, you should :
25 * 0.065 * 1.015 + 25 = x ( cost after one year ).
x * 0.065 * 1.015 + x = 29.4
In the case of the former the total increase rate is 1.5% +
6.5% = 8%
so
25 * 1.08 * 1.08 = 29.16
| Is This Answer Correct ? | 29 Yes | 6 No |
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