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      Question

      Monthly income of A is Rs. 9600 and he saves 38% of his

      monthly income. If monthly expenditure of A is decreased by 35% while his monthly savings is increased by 35% then find the increase or decrease in his monthly income.
      A 18.5% increase Correct Answer Incorrect Answer
      B 11.2% decrease Correct Answer Incorrect Answer
      C 16.5% increase Correct Answer Incorrect Answer
      D 7% decrease Correct Answer Incorrect Answer
      E 9.8% decrease Correct Answer Incorrect Answer

      Solution

      Monthly savings and expenditure of A initially is Rs. 3840 and Rs. 5760, respectively. Monthly expenditure of A now = 0.65 × 5760 = Rs. 5184 Monthly savings of A now = 1.35 × 3840 = Rs. 3744 Monthly income of A now = 5184 + 3744 = Rs. 8928 Desired percentage decrease = [(9600 – 8928)/9600] × 100 = 7%

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