Question

The monthly income of a person was Rs. $13500$ and his monthly expenditure was Rs. $9000$. Next year, his income increased by $14\%$ and his expenditure by $7\%$. What was the percentage increase in his savings?

• A. $18$ $\%$
• B. $32$ $\%$
• C. $21$ $\%$
• D. none of these

Answer 1

The correct option is D none of these

Income at present $=$ Rs. $13500$
Expenditure at present $=$ Rs. $9000$
$\therefore$ Savings at present $=$ Rs. $13500-$ Rs. $9000=$ Rs. $4500$
Income next year $=$ Rs. $13500+14\%$ of Rs. $13500$ $=\frac{114}{100}\times$ Rs. $13500=$ Rs. $15390$
Expenditure next year $=$ Rs. $9000+7\%$ of Rs. $9000$ $=\frac{107}{100}\times$ Rs. $9000=$ Rs. $9630$
$\therefore$ Savings next year $=$ Rs. $15390-$ Rs. $9630=$ Rs. $5760$
$\therefore$ Increase in savings $=$ Rs. $5760-$ Rs. $4500=$ Rs. $1260$
$\therefore \%$ increase in savings $=\frac{1260}{4500}\times 100=28\%$