Question
'M' and 'N' have a combined income of Rs. 1,80,000. 'M'
spends 65% of his income, whereas 'N' spends 60% of her income, resulting in 'N's savings being Rs. 6,000 less than 'M's savings. If 'O's income is equal to the sum of the average savings of 'M' and 'N', then determine 'O's savings, given that he saves 40% of his income.Solution
Let the income of 'N' be Rs. 'q'. Therefore, income of 'M' = Rs. (180000 - q). Savings of 'M' = 0.35 × (180000 - q). Savings of 'N' = Rs. '0.4q'. According to the question,  0.35 * (180000 - q) – 6000 = 0.4q Or, 63000 – 0.35q – 6000 = 0.4q Or, 0.75q = 63000 - 6000 Or, q = 76000 Savings of 'M' = 0.35 × (180000 - q) = 63000 – 26600 = 36400 Savings of 'N' = 30400 Therefore, income of 'O' = {36400 + 30400} ÷ 2 = 33400 Savings of 'O' = 0.40 * 33400 = Rs. 13,360
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