Question
Ratio of expenditure to income = 3:4. If income
increases by 25 % and expenditure by 20 %, find % increase in savings.Solution
ATQ,
Income = 4x, Expenditure = 3x, Savings = x
New income = 5x, New exp = 3.6x
New saving = 1.4x
Increase = 0.4x/x = 40%
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