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Question 34 Stephanos spends all of his $500 allowance on slices of pizza and gas for his pickup truck. He spends eighty percent of this on pizza and the rest on gas. Because of a shortage of gas, the price of gas increases by 40%. This makes his consumption of gas (measured in gallons) fall by 20%. If he keeps spending all his money on pizza and gas, what is the percentage change in his consumption of pizza (measured in slices)? does not change2% increase3% decrease4% increase1% decrease

Question

Question 34
Stephanos spends all of his $500 allowance on slices of pizza and gas for his pickup truck. He spends eighty percent of this on pizza and the rest on gas. Because of a shortage of gas, the price of gas increases by 40%. This makes his consumption of gas (measured in gallons) fall by 20%. If he keeps spending all his money on pizza and gas, what is the percentage change in his consumption of pizza (measured in slices)?

does not change

2% increase

3% decrease

4% increase

1% decrease

check_circleAnswer
Step 1

To calculate the percentage change in consumption of pizza.

Step 2

Total income of $500 is spent either on pizza or on gas. 80% of the income is spent on pizza and the remaining 20% income is spent on gas.

Income spent on pizza = 80% of $500 = $400

Income spent on gas = Total income – Income spent on pizza ...

New price of gas =S5+(40% of $5)
$5+$2
$7
New consumption of gas 20 gallons - (20% of 20 gallons)
20 gallons 4 gallons
= 16 gallons
Income spent on gas equals (S7) (16 gallons) = $112
Income spent on pizza $500 - $112 = $388
-12
x100 =-3%
400
Proportionate fall in consumption of pizza slice
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New price of gas =S5+(40% of $5) $5+$2 $7 New consumption of gas 20 gallons - (20% of 20 gallons) 20 gallons 4 gallons = 16 gallons Income spent on gas equals (S7) (16 gallons) = $112 Income spent on pizza $500 - $112 = $388 -12 x100 =-3% 400 Proportionate fall in consumption of pizza slice

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