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If the price of a book is first decreased by 25% and then increased by 20%, the net change in the price of the book is 

(a) 10% decrease 

(b) 5% decrease 

(c) No change 

(d) 5% increase

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(a) 10% decrease

Let the original price of the book be Rs 100. 

Decreased price of the book = Rs 75 

Increased price of the book after 20% increase

\(\frac{120}{100}\) x Rs 75 = Rs 90

\(\therefore\) Net change in price = Rs 10 decrease

\(\therefore\) % change = \(\frac{10}{100}\) x 100 = 10% decrease.

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