Question
A person saves 20% of his monthly income. If his monthly
is increased by 54% and he still saves the same amount as before then find percentage increase (approximate) in his monthly expenditure.Solution
Let monthly of person is Rs. 100x Monthly savings = 0.20 × 100x = Rs. 20x Monthly expenditure = 100x – 20x = Rs. 80x His increased monthly income = 1.54 × 100x = Rs. 154x His monthly expenditure now = 154x – 20x = 134x Percentage increase in expenditure = [(134x – 80x)/80x] × 100 ~ 67.5%
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