If the length of a rectangle is increased by 25% while its width is reduced by 20%, how does this affect the area of the rectangle?

Explanation

Let the original length and breadth be 100 units each. The new length becomes 125 units (100 + 25%) and the new breadth becomes 80 units (100 - 20%). The new area is 125 × 80 = 10,000, which is the same as the original area (100 × 100 = 10,000). Therefore, the area remains unchanged.