Question
Monthly income of Eric and Olivia is Rs. 71,200 and Rs.
78,500 respectively. Eric spends 9%, 16%, and 18% on house rent, food, and education of children respectively while Olivia spends 17%, 20%, and 15% on house rent, food, and education of children respectively. If Eric and Olivia spend 24% and 20% of their monthly income on other expenses, then find the difference between the savings of Olivia and Eric.Solution
ATQ,
Eric's Expenses Eric's monthly income = Rs. 71,200 House rent: 9% of Rs. 71,200 = Rs. 6,408 Food: 16% of Rs. 71,200 = Rs. 11,392 Education of children: 18% of Rs. 71,200 = Rs. 12,816 Other expenses: 24% of Rs. 71,200 = Rs. 17,088 Total expenses of Eric = Rs. 6,408 + Rs. 11,392 + Rs. 12,816 + Rs. 17,088 = Rs. 47,704 Savings of Eric = Rs. 71,200 - Rs. 47,704 = Rs. 23,496 Olivia's Expenses Olivia's monthly income = Rs. 78,500 House rent: 17% of Rs. 78,500 = Rs. 13,345 Food: 20% of Rs. 78,500 = Rs. 15,700 Education of children: 15% of Rs. 78,500 = Rs. 11,775 Other expenses: 20% of Rs. 78,500 = Rs. 15,700 Total expenses of Olivia = Rs. 13,345 + Rs. 15,700 + Rs. 11,775 + Rs. 15,700 = Rs. 56,520 Savings of Olivia = Rs. 78,500 - Rs. 56,520 = Rs. 21,980 Difference in Savings Difference in savings = Rs. 23,496 - Rs. 21,980 = Rs. 1,516
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