The monthly income of a person was Rs. 80,000 and his monthly expenditure was Rs. 45,000. Next year, his Income Increased by 16% and his expenditure Increased by 8%. Find the percentage increase in his savings (correct to 2 decimal places). 

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SSC CGL 2023 Tier-I Official Paper (Held On: 19 Jul 2023 Shift 2)
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  1. 26.29%
  2. 25.35%
  3. 44.36%
  4. 30.25%

Answer (Detailed Solution Below)

Option 1 : 26.29%
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Detailed Solution

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Given : 

Monthly income of a person was Rs. 80,000.

Monthly expenditure was Rs. 45,000. 

Income Increased by 16%.

Expenditure Increased by 8%.

Formula Used : 

Income = Expenditure + Saving

Calculation : 

Income increased by 16% = 80000 × 116/100 = 92800

Expenditure increased by 8% = 45000 × 108/100 = 48600

Old Saving = 80000 - 45000 = 35000

New Saving = 92800 - 48600 = 44200

Increase = 44200 - 35000 = 9200

Percentage increase = 9200/35000 × 100 = 9200/350 = 26.28%

∴ The correct answer is 26.28%.

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