Question
In 2020, Sumit's expenditure and savings are in the
ratio of 4:3 . The following year, his expenditure increases by 25% , and his savings grow by (100/3)% . If the percentage increase in his total income is represented by 'm% ' , which of the following statements about 'm' is correct?Solution
Let the expenditure and savings of Sumit in 2020 be Rs. '4p' and '3p', respectively. Income of Sumit in 2020= 4p + 3p = Rs. '7p' Expenditure of Sumit in 2021 = 1.25 X 4p = Rs. '5p' Savings of Sumit in 2021 = (4/3) X 3p = Rs. '4p' Income of Sumit in 2021= 5p + 4p = Rs. '9p' So, 'm' = {(9p - 7p) ÷ 7p} X 100 = (200/7) Since, among given options 'm' is completely divisible by (1/7) .
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