# Increase or Decrease in the Expenditure of the Money is :

Water tax is increased by 20% but it consumption is decreased by 20%. Then the increase or decrease in the expenditure of the money is

- 4% increase
- 4% decrease
- 5% decrease
- No change

**Answer is (2): 4% decrease**

**Explanation:-**Let the money be Rs. 100

Water tax increased by 20 %,

Then, the expenditure = 100 + 100 x 20/100

= 100 + 20

= Rs. 120

consumption is decreased by 20% ,

Then, the expenditure = 120 – 120 x 20/100

= 120 – 24

= 94 %

Then, the expenditure of money is decreased by = 100 – 96 = 4%.

Hence, the answer is (2) 4% decreased.