A family member spends 25% of his monthly income on food, 35% of the remaining on a home loan and other bank debts, and half of the rest on the education of the children. If the member saves $46,215 every year, then the monthly income of the member is:
Show answer & explanation
Correct answer: A
Explanation
The correct answer is option 1 i.e. $15,800.
The savings (what remains) = ₹46,215 per year
→ ₹46,215 ÷ 12 = ₹3,851.25 per month
Let the monthly income = x
Remaining after food = x − 0.25x = 0.75x
Loan = 35% of 0.75x = 0.35 × 0.75x = 0.2625x
Remaining after loan = 0.75x − 0.2625x = 0.4875x
Education = 1/2 × 0.4875x = 0.24375x
Remaining (savings) = 0.4875x − 0.24375x = 0.24375x
savings = ₹3,851.25, so:
⇒