Factory P produces 20,000 bags of cement per day while factory Q produces 15,000 bags per day. If P reduces production by 5% and Q increases production by 5%, determine the effective loss in the number of bags produced per day by the two factories

A.

250

B.

750

C.

1000

D.

1250

Correct answer is A

P produces 20,000 bags

P reduces production by 5%

i.e. reduction = \(\frac{5}{100}\) x \(\frac{20000}{1}\)

= 1000

Q produces 15000 bags

Q increases production by 5%

i.e. increase = \(\frac{5}{100}\) x \(\frac{15000}{1}\)

= 750

Effective loss by the two = 1000 - 750

= 250 bags