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: Option A
Explanation
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