Question
The ratio of monthly income of 'A' to that of 'B' is
3:4, and monthly savings of 'A' are 20% less than that of 'B'. If 'B' saves (1/4)th of his monthly income such that his monthly expenditure is Rs. 8,000 more than that of 'A', then find the yearly income of 'A'.Solution
Let the monthly income of 'B' be Rs. 20x Therefore, monthly income of 'A' = 20x x (3/4) = Rs. 15x So, the monthly savings of 'B' = (1/4) x 20x = Rs. '5x' Monthly expenditure of 'B' = 20x - 5x = Rs. '15x' Monthly savings of 'A' = 0.80 x 5x = Rs. '4x' Monthly expenditure of 'A' = 15x - 4x = Rs. '11x' ATQ, 15x - 11x = 8000 Or, 4x = 8000 Or, x = 2000 So, the yearly income of 'A' = 12 x 15x = 12 x 15 x 2000 = Rs. 3,60,000
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