Problem: In 2005, the number of pairs of the shoes that a company sold to retailers decreased by 20 percent, while the price per pair increased by 20 percent from that of the previous year. The company’s revenue from the sales of the shoes in 2005 was Tk. 300,000. What was the revenue from the sale of the shoes in the previous year?

Correct Answer: TK 312,500

Explanation:

Let, in 2004 no. of pairs of the shoes was 10 and price per pair was Tk. 10In 2005, at 20% decreasing of pair of shoes = (10 – $10\frac{20}{100}$) = 8 pairAnd at 20% increasrng of price per pair = (10 + $10\frac{20}{100}$) = 12 Tk.In 2004 total revenue was = 10 x 10 = 100 Tk.And in 2005 total revenue was = 8 x 12 = 96 Tk.In 2005 revenue Tk. 96 then revenue was = Tk. 100 in 2004In 2005 revenue Tk. I then revenue was = Tk. $\frac{100}{96}$ in 2004In 2005 revenue Tk. 300,000 then revenue was = Tk. $\frac{100×300000}{96}$ = Tk. 312,500 in 2004