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A hosiery unit in Ludhiana raised its output by 25% in April and then cut it by 20% in May. Compared with its March output, the May output is:

Class 8Comparing QuantitiesComparing Quantities
  • A5% more than March
  • B45% more than March
  • C5% less than March
  • DThe same as in March

Step-by-Step Solution

Multiply the two factors: , so May equals March. Check with 100 units: April = 125, and 20% of 125 = 25, bringing May back to 100. Trap: adding or subtracting the rates (25 + 20, or 25 − 20) ignores that the 20% cut is taken on the LARGER April output, not on March.
Answer: D) The same as in March

Key idea: Sales tax / GST

Tax is added ON TOP of the selling price.

**Final price paid = SP + (SP × rate / 100) = SP × (1 + rate/100).**

Example: SP = ₹600, GST = 12%. Tax = . Final price = 600 + 72 = 672.

If both discount and tax apply, do **discount first** (off MP), then **tax on the discounted SP**.

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