Suppose that there are two products with the same first product time. However, product A has an improvement rate of 10% while product B has an improvement rate of 20%. How much longer will it take to make the 10th unit of product A compared to product B?
A) Both will have the identical time for the 10th unit.
B) A will take 48% more time.
C) A will take 48% less time.
D) A will take 23% less time.
E) A will take 23% more time.

Question

Quizplus · Accepted Answer

Let's say the time taken to make the first unit of each product is 1 unit of time. 
For product A, the time taken to make the 10th unit will be:
1*(1.1)^9 = 2.357 units of time
For product B, the time taken to make the 10th unit will be:
1*(1.2)^9 = 5.159 units of time
The ratio of time taken for A and B will be:
2.357/5.159 = 0.456
Therefore, A will take 1-0.456=0.544 or approximately 54.4% less time than B.
So, A will take 48% more time compared to B.

Suppose That There Are Two Products with the Same First