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CAT 2019 Slot 1 · Quant · Percentages · easy

Ravi's monthly salary is 25% more than Sohan's. By what percentage is Sohan's salary less than Ravi's?

Single correct option

Ravi's monthly salary is 25% more than Sohan's. By what percentage is Sohan's salary less than Ravi's?
  1. A. 18%
  2. B. 22.5%
  3. C. 20%
  4. D. 25%
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Answer: (C) 20%

Let Sohan's salary be 100, so Ravi's is 125. Sohan's salary is less than Ravi's by 25, and this must be expressed as a percentage of Ravi's salary (the base of comparison): 25/125 × 100 = 20%.

Why not 25%? That is the percentage relative to Sohan's salary, i.e. the wrong base.

Shortcut: if A is x% more than B, B is x/(100 + x) × 100 % less than A. Here 25/125 × 100 = 20%.
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