The monthly income of a person was Rs.13,500 and his monthly expenditure was Rs.

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The monthly income of a person was Rs.13,500 and his monthly expenditure was Rs.9,000. Next year his income increased by 14% and his expenditure increased by 7%. The per cent increase in his savings was

Options:

A . 28%

B . 21%

C . 7%

D . 35%

Answer: Option A
Answer: (a)Original savings = Rs.(13500 – 9000) = Rs.4500 New income = 114% of Rs.13500 = Rs.(114 × 135) = Rs.15390 New expenditure = 107% of Rs.9000 = Rs.(107 × 90) = Rs.9630 New savings = Rs.(15390 – 9630) = Rs.5760Percentage increase in savings = ${5760 – 4500}/4500$ × 100= $1260/45$ = 28%

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