A person spends 75% of his income. If his income increases by 29% and his savings also increase by 20%, then the percentage increase in his expenditure is:
Show answer & explanation
Correct answer: A
Explanation
The correct answer is option 1 i.e. 32%.
Let income = 100
Expenditure = 75, Savings = 25
New income = 129
New savings = 30
New expenditure = 129 – 30 = 99
% increase = × 100 = 32%