The price of an article is reduced by 25%. In order to retain the original price, the present price has to be increased by
Aptitude
Percentage
Difficulty: Easy
Choose an option
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A20%
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B25%
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C$33 \frac{1}{3}\%$
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D50%
Answer
Correct Answer: $33 \frac{1}{3}\%$
Explanation
### Concept & Logic
Similar to reversing an increase, reversing a percentage *decrease* requires calculating the necessary absolute increase against the *new, smaller base*.
If a value decreases by $R\%$, the required percentage increase to return to the original value is given by the formula:
$$Increase \% = \frac{R}{100 - R} \times 100$$
### Step-by-Step Solution
* **Initial Setup:**
Let the initial price of the article be $100$.
* **Applying the Reduction:**
The price is reduced by $25\%$.
New (Present) Price = $100 - 25 = 75$.
* **Calculating the Reversal:**
To retain (return to) the original price, the price must go from $75$ back up to $100$.
Absolute Increase required = $100 - 75 = 25$.
* **Calculating Percentage Increase:**
This absolute increase is evaluated against the *present* price base ($75$).
Percentage Increase = $(\frac{\text{Absolute Increase}}{\text{Present Price}}) \times 100$
Percentage Increase = $(\frac{25}{75}) \times 100$
Percentage Increase = $(\frac{1}{3}) \times 100 = \frac{100}{3}\%$.
* **Converting to Mixed Fraction:**
$\frac{100}{3} = 33$ with a remainder of $1$.
Result = $33 \frac{1}{3}\%$.
### Exam Strategy & Shortcut
Use the fractional change rule for decreases.
A $25\%$ reduction is a subtraction of $\frac{1}{4}$.
To reverse a subtraction of $\frac{1}{x}$, you must add $\frac{1}{x-1}$.
Here, $x = 4$. So we must add $\frac{1}{4-1} = \frac{1}{3}$.
The fraction $\frac{1}{3}$ strictly corresponds to $33 \frac{1}{3}\%$.
### Common Pitfall
The trap is to select Option B ($25\%$), thinking decreases and increases are symmetrical. Remember that the $25$ unit increase is heavily magnified because it is being calculated over a much smaller starting base ($75$ instead of $100$).
### Final Answer
**Therefore, the correct answer is $33 \frac{1}{3}\%$.**