A family earns ₹75,000, out of which 10% is saved. 30% of the expenditure is incurred on education, while ₹30,375 is spent on health, and the remaining amount is spent on food. What is the percentage of food expenditure in the total income?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. 19.5%.
Given that
A family earns ₹75,000, out of which 10% is saved
Expenditure on Education = 30% of his income = 0.3 × 75000 = ₹22500
Expenditure on Health = ₹30,375
The remaining amount is spent on food.
According to the question
Total expenditure = 75000 × 90/100 = ₹67500
The expenditure on food = 67500 - (22500 + 30375) = 67500 - 52875 = ₹14625
Hence, the percentage of food expenditure to the total income = (14625/75000) × 100 = 19.5%