Question

A man spends 75% of his income. His income is increased by 20% and he increased his expenditure by 10%. His savings are increased by

• A. 10%
• B. 25%
• C. 37%
• D. 50%

Answer 1

Answer:

D. 50%

Let his income be Rs. 100 Expenditure = Rs. 75 Now Income is increased by 20% Thus, new income =120 Expenditure is increased by 10%-->75x110/100=82.50 Saving =120−82.50=37.50 Earlier saving =100−75=25 Increase in saving=(37.50−25/25)x100=50%