Question : If the price of a movie ticket increased by $12 \frac{1}{2} \%$ and the sale of tickets also increased by $8 \frac{1}{2} \%$, then find the percentage change in income.
Option 1: 21.875%
Option 2: 22.6750%
Option 3: 20.675%
Option 4: 22.0625%
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Correct Answer: 22.0625%
Solution :
Given that the price of a movie ticket increased by 12.5% and the sale of tickets also increased by 8.5%.
Let the previous price of the ticket be 100 and the quantity of the ticket be 100.
Income = 100 × 100
New income = 112.5 × 108.5
The percentage change in income
$= \frac{(112.5 × 108.5)-(100 × 100)}{100 × 100}×100=\frac{2206.25}{100}$ = 22.0625%
Hence, the correct answer is 22.0625%.
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