New RBI Grade B 2025 Notification will come Soon! Enroll Here

    Question

    Rohit used to earn Rs. 42,000 per month. His spending to

    saving ratio was 5:9. After a salary increment, he reduced his expenses by 20% and his savings increased by 20%. What was the hike in his salary?
    A Rs.2400 Correct Answer Incorrect Answer
    B Rs.5600 Correct Answer Incorrect Answer
    C Rs.9500 Correct Answer Incorrect Answer
    D Rs.3500 Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    ATQ,

    Initially, expenditure of Rohit = 42000 × (5/14) = Rs. 15,000

    Initially, savings of Rohit = 42000 × (9/14) = Rs. 27,000

    After salary hike, expenditure = 15000 × (80/100) = Rs. 12,000

    After salary hike, savings = 27000 × (120/100) = Rs. 32,400

    So, increased salary = 12000 + 32400 = Rs. 44,400

    Required salary hike = 44400 – 42000 = Rs. 2,400

    Practice Next

    Relevant for Exams: