A and B spend 60% and 75% of their incomes, respectively. If the savings of A are 20% more than that of B. then by what percentage is the income of A less than the income of B?
Show answer & explanation
Correct answer: D
Explanation
The correct answer is option 4 i.e 25
Explanation:
Let the income of A and B be X and Y respectively.
Saving of A = X - (60)/(100) × X = 0.4X
Saving of B = Y - (75)/(100) × Y = 0.25Y
If the savings of A are 20% more than that of B then,
Saving of A = 0.25Y × (120)/(100) = 3Y/10
0.4X = 3Y/10
4X = 3Y
Ratio of income of A and B = 3 : 4
Required percentage = ((4 - 3))/(4) × 100 = 25%