Question
Monthly savings of ‘A’ is Rs. 500 more than his
monthly expenditure and his total monthly income is Rs. 900. If his monthly income is increased by 40% and his monthly savings is increased by 37.5%, then find the increase in his monthly expenditureSolution
Monthly savings of ‘A’ = (900 + 500)/2 = Rs. 700 Monthly expenditure of ‘A’ = 900 – 700 = Rs. 200 Increased monthly expenditure of ‘A’ = 1.40 × 900 – 1.375 × 700 = Rs. 297.5 Desired increase = 297.5 – 200 = Rs. 97.5
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