Question

If the price of petrol increases first by 10% and then by 15% in a particular month, then what is the total percentage increase in the price of petrol in that month?

• A. 26
• B. 26.5
• C. 27
• D. 27.5

Answer 1

The Correct Option is C

Calculating the Total Percentage Increase in Petrol Price:

Step 1: Define the Initial Price 

Let the initial price of petrol be \( P \).

Step 2: First Increase (10%)

After the first increase of 10%, the new price will be:

\[ P \times (1 + 0.10) = P \times 1.10 \]

Step 3: Second Increase (15%)

After the second increase of 15%, the new price will be:

\[ P \times 1.10 \times (1 + 0.15) = P \times 1.10 \times 1.15 \]

\[ P \times 1.265 \]

Step 4: Calculate the Total Percentage Increase

The total percentage increase is given by:

\[ \frac{P \times 1.265 - P}{P} \times 100 \]

\[ (1.265 - 1) \times 100 = 0.265 \times 100 = 26.5\% \]

Final Answer:

Thus, the correct answer is (B) 26.5%.