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A number is first increased by 20% and then decreased by 20%. The net change is
A4% decrease
B4% increase
CNo change
D2% decrease
Answer & Solution
Correct answer: A. 4% decrease
Successive percentage change: a + b + ab/100 = 20 + (-20) + (20)(-20)/100 = -4%. Equivalently, 1.20 x 0.80 = 0.96 = 4% decrease.
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