# CAT 1996 | Question: 114

751 views

The price of a Maruti car rises by $30$% while the sales of the car came down by $20$%. What is the percent change in the total revenue?

1. $–4$
2. $–2$
3. $+4$
4. $0$

Let the initial price be 'P' and initial sales be 'S'

So, the initial revenue C = P*S

Now,

Pnew = 1.3P and Snew = 0.8S

$\therefore$ Cnew = Pnew*Snew = 1.3P*0.8S = 1.04C

So, there is a 4% increase in total revenue.

## Related questions

1.6k
views
1,604 views
Instead of a metre scale, a cloth merchant uses a $120$ cm scale while buying, but uses an 80 cm scale while selling the same cloth. If he offers a discount of $20$ perce...
2.2k
views
2,177 views
A watch dealer incurs an expense of Rs $150$ for producing every watch. He also incurs an additional expenditure of Rs. $30,000$, which is independent of the number of wa...
1.5k
views
1,499 views
The cost of a diamond varies directly as the square of its weight. Once, this diamond broke into four pieces with weights in the ratio $1 : 2 : 3 : 4$. When the pieces we...
9.9k
views