The income of A is 80% of B's income and the expenditure of A is 60% of B's expenditure. If the income of A is equal to 90% of B's expenditure, then by what percentage are the savings of A more than B's savings?
Show answer & explanation
Correct answer: A
Explanation
The correct answer is option 1 i.e. 140%
The income of A is 80% of B's income
Income(B : A) = 100/80 = 5 : 4.
Let A's and B's income will be 4x and 5x
The expenditure of A is 60% of B's expenditure.
Expenditure(B : A) = 100/60 = 5 : 3.
Let the Expenditure of A and B be 3y and 5y
According to the question,
The income of A is equal to 90% of B's expenditure
4x = 90/100 × 5y
x/y = 9/8
Put x = 9 units and y = 8 units then,
| Income | Expenditure | Savings | |
| A | 36 units | 24 units | 12 units |
| B | 45 units | 40 units | 5 units |
Required % = (12 - 5)/5 × 100 = 140%