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      Question

      S's income is 60% higher than T's. S and T save 30% and

      20% of their incomes respectively. If S spends Rs. 720 more than T, what are S's savings?
      A Rs.1,500 Correct Answer Incorrect Answer
      B Rs.1,200 Correct Answer Incorrect Answer
      C Rs.1,800 Correct Answer Incorrect Answer
      D Rs.1,080 Correct Answer Incorrect Answer

      Solution

      Let the income of 'T' be Rs. '100t'. Income of 'S' = 1.6 × 100t = Rs. '160t' Expenditure of 'S' = 0.70 × 160t = Rs. '112t' Expenditure of 'T' = 0.80 × 100t = Rs. '80t' So, 112t – 80t = 720 Or, 32t = 720 Or, t = 22.5 Savings of 'S' = 0.30 × 160t = 48t = 48 × 22.5 = Rs. 1,080

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