The monthly salary of a person was Rs 50,000 . He used to spend on Family expenses (E), Taxes (T), charity (C), and the rest were his saving . E was 60% of the income, T was 20% of E , and C was 15% of T. when his salry got raised by 40%, he maintained the percentage level of E. But T becomes 30% of E and C becomes 20% of T . The difference between the two saving ( in Rs) is :
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. 220
The monthly salary of the person = Rs. 50,000
E = 60% of 50,000 = 30,000
T = 20% of 30,000 = 6,000
C = 15% of 6,000 = 900
Total expenditure = 30000 + 6000 + 900 = 36900
Savings = 50,000- 36,900 = Rs 13,100
Now his salary increases 40%.
Salary = 50,000 × 140/100 = 70,000
E = 60% of 70,000 = 42,000
T = 30% of 42,000 = 12,600
C = 20% of 12,600 = 2520
Total expenditure = 42,000 + 12,600 + 2520= 57,120
New Savings = 70,000 - 57120 = Rs.12,880
The difference between the two savings = 13100 - 12880 = Rs. 220