Question
A person saves 25% of his monthly income. If his monthly
is increased by 32% 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 = 0.25 × 100x = Rs. 25x Monthly expenditure = 100x – 25x = Rs. 75x His increased monthly income = 1.32 × 100x = Rs. 132x His monthly expenditure now = 132x – 25x = 107x Percentage increase in expenditure = [(107x – 75x)/75x] × 100 ~ 42.6%
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