The monthly income of a person was Rs 15,400 and his monthly expenditure was Rs 7,200. His income increased by 20% and his expenditure increased by 5%. Find the percentage increase in his savings.
Show answer & explanation
Correct answer: C
Explanation
The Correct answer is option 3 i.e. 33.17%.
The monthly income of a person = Rs 15,400
His monthly expenditure = Rs 7,200
Income - Expenditure = Savings
Initial Savings: 15,400 - 7200 = 8200
New Savings: (15,400 × 120/100 = 18480) - (7200 × 105/100 = 7560) = 10920
Percentage increase in his savings = (New savings - Initial savings)/Initial savings × 100
= (10920 - 8200)/8200 × 100
= 2720/82
= 33.17%