Correct Answer - Option 1 : 93.75%
Formula used
Area of square= (Side)2
Calculation
Let the side of square is 100 units
Area of square = (100)
⇒ 10000 sq units
When side decrease by (1/4)th = 100 × (1/4)
= 25 units
New area = (25)2
⇒ 625 sq. units
Percentage decrease in area = [(10,000 - 625)/10,000] × 100
⇒ (9375/10000) × 100
⇒ 93.75 %
∴ Percentage decrease in area due to decrease in side is 93.75%