The income of a person is ₹16,500, and his expenditure is ₹12,000. Next year, his income increases by 24% but his expenditure decreases by 10%. The percentage increase (rounded off to the nearest integer) in his savings is:
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Correct answer: C
Explanation
The correct answer is option 3 i.e. 115%.
Initial Income = ₹16,500
Initial Expenditure = ₹12,000
Initial Savings = 16500 - 12000 = ₹4,500
Income increase = (24/100) × 16500 = ₹3,960
New Income = 16500 + 3960 = ₹20,460
Expenditure decrease = (10/100) × 12000 = ₹1,200
New Expenditure = 12000 - 1200 = ₹10,800
New Savings = 20460 - 10800 = ₹9,660
Increase in Savings = 9660 - 4500 = ₹5,160
Required percentage = (5160/4500) × 100 = 114.66...% ≈ 115%
Therefore, the percentage increase in his savings is approximately 115%.