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      Question

      Raman allocates his income in the following manner: 20%

      is spent on food. After food expenses, he uses 25% of the balance on rent. He spends one-fourth of the remaining amount on transport. Following these expenses, he spends 20% of what's left on miscellaneous items. He saves the remaining sum, which amounts to Rs. 36,000. Calculate his total income.Β 
      A Rs. 90,000 Correct Answer Incorrect Answer
      B Rs. 1,00,000 Correct Answer Incorrect Answer
      C Rs. 1,20,000 Correct Answer Incorrect Answer
      D Rs. 80,000 Correct Answer Incorrect Answer
      E None of these Correct Answer Incorrect Answer

      Solution

      Let the income of Raman be Rs. '100q'.
      Money spent on food = 0.20 Γ— 100q = Rs. '20q'
      Remaining income = 100q – 20q = Rs. '80q' Money spent on rent = 0.25 Γ— 80q = Rs. '20q'
      Remaining income = 80q – 20q = Rs. '60q' Money spent on transport = (1/4) Γ— 60q = Rs. '15q'
      Remaining income = 60q – 15q = Rs. '45q' Money spent on miscellaneous = 0.20 Γ— 45q = Rs. '9q'
      Savings = 45q – 9q = Rs. '36q' So, 36q = 36,000
      Or, q = 1,000
      Therefore, income of Raman = 1,000 Γ— 100 = Rs. 1,00,000

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