Question
X spends 45% of his salary and saves the remaining.
After his salary is increased by 15%, he saves 45% of the increased amount besides the amount he used to save earlier. What will be the percentage change in his monthly savings?Solution
⇒ Let his salary be Rs. 100 ⇒ His expenditure = 45% of 100 = Rs. 45 ⇒ His saving = Rs. (100 – 45) = Rs. 55 ⇒ Salary increased by 15% ⇒ New salary = Rs. (100 × 115)/100 = Rs. 115 ⇒ saving on increased amount = Rs. 45% ×  55 = Rs. 24.75 ⇒ New Saving = Rs. (55 + 24.75) = Rs. 79.75 ⇒ required increase in saving = (79.75 – 55)/55 × 100 ∴ required increase in saving = 45%
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