At a local appliance manufacturing facility, the workers

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At a local appliance manufacturing facility, the workers received a 20% hourly pay raise due to extraordinary performance. If one worker decided to reduce the number of hours that he worked so that his overall pay would remain unchanged, by approximately what percent would he reduce the number of hours that he worked?

A. 83%
B. 80%
C. 20%
D. 17%
E. 12%

The OA is D.

Let us assume, Hourly Rate=$100
No of hours worked=6
Salary earned=$600
Now, the worker wants to keep the pay unchanged at $600
New Hourly Rate=120% of $100=$120
New no of hours worked=$600/$120=5 hours
Required %=6-5/6=1/6=16.66%=17%
Answer D.

Has anyone another approach to solve this PS question? Regards!
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by Jay@ManhattanReview » Wed May 09, 2018 10:08 pm
BTGmoderatorLU wrote:At a local appliance manufacturing facility, the workers received a 20% hourly pay raise due to extraordinary performance. If one worker decided to reduce the number of hours that he worked so that his overall pay would remain unchanged, by approximately what percent would he reduce the number of hours that he worked?

A. 83%
B. 80%
C. 20%
D. 17%
E. 12%

The OA is D.

Let us assume, Hourly Rate=$100
No of hours worked=6
Salary earned=$600
Now, the worker wants to keep the pay unchanged at $600
New Hourly Rate=120% of $100=$120
New no of hours worked=$600/$120=5 hours
Required %=6-5/6=1/6=16.66%=17%
Answer D.

Has anyone another approach to solve this PS question? Regards!
This question is akin to the following scenario.
If the price of an item increases by 20%, by what percent should one reduce its consumption so that the expense remains the same as before?
If one used to buy 100 items, now he can only buy 100 / (1 + 20%) = 100 / 1.2 = 83.33 items

=> He should reduce the consumption by 100 - 83.33 = 16.66% =~17%.

The correct answer: D

Hope this helps!

-Jay
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by Scott@TargetTestPrep » Sun May 13, 2018 5:02 pm
BTGmoderatorLU wrote:At a local appliance manufacturing facility, the workers received a 20% hourly pay raise due to extraordinary performance. If one worker decided to reduce the number of hours that he worked so that his overall pay would remain unchanged, by approximately what percent would he reduce the number of hours that he worked?

A. 83%
B. 80%
C. 20%
D. 17%
E. 12%
We can let the current wage = w, the current number of hours = h, and the percent reduction = n and create the equation:

wh = 1.2w x h(1 - n/100)

1 = 1.2(100 - n)/100

100 = 120 - 1.2n

1.2n = 20

n = 20/1.2 = 200/12 = 50/3 ≈ 17

Answer: D

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