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percentage hourly -confusing

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by s&s » Tue Dec 02, 2008 8:17 pm
A part time employee whose hourly wage was increased by 25% decided to reduce the number of hours worked per week so that the employee's total weekly salary would remain unchanged. By what % should the number of hours worked be reduced?

a. 12.5%
b. 20%
c. 25%
d. 50%
e. 75%
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Source: — Problem Solving |

by austin » Tue Dec 02, 2008 8:55 pm
Initial wage : $100
New wage = 25% more = 125

Reduced no of hours * new wage = initial wage (employee's total weekly salary would remain unchanged)

x*125 = 100
x = 100/125 = 4/5 = 0.8

The number of hours worked be reduced is 20% {(1-0.8)*100}
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by anayeri » Tue Dec 02, 2008 8:57 pm
Let's use numbers.

Say the employee used to work for $4/hour - for 40 hours per week. So his daily take-home was $160/week.

So a 25% increase would mean he now gets paid $5/hour. How many hours does he need to work to still make $160/week?

160/5 = 32 hours/week.

So what's the % change? (32-40)/40 = a decrease of 20%.

Answer B.
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by s&s » Tue Dec 02, 2008 9:27 pm
thanks... had a made a very silly mistake... :oops:
Answer is B.
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