Question

Mohan's income is Rs 15500 per month. He saves 11% of his income. If his income increases by 10%, then he reduces his saving by 1%, how much does he save now?

Answer 1

$$\begin{gathered} \mathrm{Mohan}\text{'}\mathrm{s}\mathrm{saving}=11\%\mathrm{of}15500 \\ =\frac{11}{100}\times 15500 \\ =\mathrm{Rs}.1705 \end{gathered}$$

$$\begin{gathered} \mathrm{It}\mathrm{is}\mathrm{given}\mathrm{that}\mathrm{Mohan}\text{'}\mathrm{s}\mathrm{income}\mathrm{increases}\mathrm{by}10\%. \\ \therefore \mathrm{Increase}\mathrm{in}\mathrm{income}=\frac{10}{100}\times 15500=\mathrm{Rs}1550 \\ \mathrm{Increased}\mathrm{income}=\mathrm{Rs}(15500+1550)=\mathrm{Rs}17050 \\ \mathrm{Now},\mathrm{percentage}\mathrm{of}\mathrm{saving}=(11-1)=10\% \\ \therefore \mathrm{Saving}=\frac{10}{100}\times 17050=\mathrm{Rs}1705 \\ \mathrm{Thus},\mathrm{the}\mathrm{amounts}\mathrm{of}\mathrm{his}\mathrm{present}\mathrm{and}\mathrm{earlier}\mathrm{savings}\mathrm{are}\mathrm{the}\mathrm{same}. \end{gathered}$$