A man's wage was reduced by 50%. Again, the wage was increased by 50%. Find his loss in percentage.
Understand the Problem
The question is asking us to find the percentage loss in wages after a sequence of changes: first a reduction of 50%, followed by an increase of 50%. To solve this, we need to understand how these percentage changes affect the initial wage and then calculate the loss compared to the original wage.
Answer
$25\%$
Answer for screen readers
The percentage loss in wages is $25%$.
Steps to Solve
- Calculate the wage after a 50% reduction
Start with an initial wage, let's call it $W$.
After a reduction of 50%, the new wage becomes:
$$ W_{\text{reduced}} = W - 0.5W = 0.5W $$
- Calculate the new wage after a 50% increase
Now, we take the reduced wage $W_{\text{reduced}}$ and increase it by 50%. The new wage will be:
$$ W_{\text{increased}} = W_{\text{reduced}} + 0.5 \times W_{\text{reduced}} $$
Substituting for $W_{\text{reduced}}$:
$$ W_{\text{increased}} = 0.5W + 0.5 \times 0.5W = 0.5W + 0.25W = 0.75W $$
- Calculate the percentage loss in wages compared to the original wage
Now, we need to find the percentage loss in wages from the original wage $W$ to the new wage $W_{\text{increased}}$. The loss can be calculated as:
$$ \text{Loss} = W - W_{\text{increased}} = W - 0.75W = 0.25W $$
To find the percentage loss:
$$ \text{Percentage Loss} = \left( \frac{\text{Loss}}{W} \right) \times 100% = \left( \frac{0.25W}{W} \right) \times 100% = 25% $$
The percentage loss in wages is $25%$.
More Information
This problem is a classic example of how successive percentage changes can lead to unexpected outcomes. The common intuition might suggest that regaining 50% after losing 50% would lead to breaking even, but as illustrated, the actual result is a loss.
Tips
- Assuming symmetrical outcomes: It's important to recognize that a 50% increase after a 50% decrease does not recover the original amount due to the base value changing.
- Not correctly applying percentage calculations: Ensure to distinguish between reducing and increasing values based on their current amounts.
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