Radha saves 28% of her income. If her expenditure increases by 25% and savings increase by 30%, then by what percent has her income increase?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. 26.4%
Radha saves 28% of her income. If her expenditure increases by 25% and savings increase by 30%, then by what percent has her income increase?
Income = Expenditure + Savings
100 - 72 = 28
Expenditure is increased by 25% = 72 × 125/100 = 90
Saving increased by 30% = 28 × 130/100 = 36.40
So, income = 90 + 36.40 = 126.40
Percentage increased in income = (126.40 - 100)/100 × 100 = 26.40%