On increasing the price of tickets for a show by 20 % the audience decreases by 30%. What is the effect on revenue?

Question: On increasing the price of tickets for a show by 20 % the audience decreases by 30%. What is the effect on revenue?

Solution:
Effect on revenue
= percent increase - percent decrease - (percent increase × percent decrease)/100
= 20 - 30 - (20 × 30)/100
= - 10 - 600/100
= -10 - 6
= - 16 %

'-' sign shows decrease in revenue.