Question
Incomes of 'A' and 'B' are in the ratio 4:9, respectively while their expenditures are Rs. 16,000 and Rs. 36,000, respectively. If the ratio of income to the expenditure of 'C' is equal to the ratio of savings of 'B' and 'A', respectively, then find the expenditure of 'C' on medical bills given that it is 20% of his total expenditure and his income is Rs. 1,08,000.
Solution
Ratio of incomes of 'A' and 'B' = 4:9 Ratio of expenditures of 'A' and 'B' = 16000:36000 = 4:9 Since, ratio of income of 'A' to that of 'B' as well as ratio of their expenditures is 4:9 Therefore, ratio of savings of 'A' to that of 'B' = 4:9 Ratio of income to expenditure of 'C' = 9:4 Expenditure of 'C' = 108000 X (4/9) = Rs. 48,000 Amount paid towards medical bills = 0.2 X 48000 = Rs. 9,600
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