Quantity I: Total Expense = Price per unit Consumption So let Price per unit & consumption both are 100 So toal expense = 100 100 = Rs. 10000 New total expense = 10000 0.90 = Rs. 9000 & New price per unit = Rs. 100 0.7 = 70 So New Total Expense = New Price per unit New Consumption 9000 = 70 new consumption So new consumption = 9000/70 = 900/7 Hence ratio of old & new consumption = 100 : 900/7 = 700 : 900 = 7 : 9 Hence increase in comsumption = (9-7) /7 100 = 28.56% Quantity II: Expense / Income = 45600/68400 = 2/3 Hence Let orginal income = 300 & original expense = 200 So saving = 300 - 200 = 100 Now new income = 300 119% = 357 , New expense = 200 113% = 226, So new saving = 357 -226 = 131 Hence change in saving % = (131-100)/100 100 = 31% So Quantity I < Quantity II
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