If the price of an article is decreased by 20% and then the new price is increased by 25%, then what is the net change in the price?

The correct option is 0%.

To find the net percentage change in the price of the article, let us break down the problem into step-by-step calculations.

Step 1: Assume an initial price for the article
Let the initial price of the article be $100$.

Step 2: Calculate the price after a 20% decrease
A decrease of 20% on the initial price of 100 means:
Amount of decrease = $20\%\times 100=20$
New price after decrease = $100-20=80$

Step 3: Calculate the price after a 25% increase on the new price
Now, the new price (80) is increased by 25%:
Amount of increase = $25\%\times 80=\frac{25}{100}\times 80=20$
Final price = $80+20=100$

Step 4: Determine the net change in price
Net change = Final price - Initial price
Net change = $100-100=0$

Net percentage change = $(\frac{0}{100}\times 100)\%=0\%$

Thus, there is no change in the price, which means the net change is 0%.