The income of an employee is 30% more than his expenditure. If his income decreases by 10% and his expenditure increases by 3%, then by what percentage does his savings decrease or increase?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is Option 2 i.e. % decrease.
Let expenditure = 100
Income = 100 + 30 = 130
Savings = 130 - 100 = 30
New income = 130 × (9/10) = 117
New expenditure = 100 + 3 = 103
New savings = 117 - 103 = 14
Savings decrease percentage = (16/30) × 100 = %