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A man's salary is Rs. 60000. He spends 30% of his salary on rent, 20% on electricity, 15% on food, and 25% on other expenses and saves the rest. Then his salary increases by 20% and his rent increases by 10% and electricity and food increase by 5%. He spends 25% on other expenses and saves the rest.

(ii) How much is his savings after the salary increase?

a. 3480

b. 3580

c. 3590

d. 3780

Answer :

To solve this problem, let's work through the steps one by one:

Initially, the man's salary is Rs. 60,000.

  1. Calculate Initial Expenses and Savings:

    • Rent: 30% of 60,000 = [tex]0.30 \times 60,000 = 18,000[/tex] Rs.
    • Electricity: 20% of 60,000 = [tex]0.20 \times 60,000 = 12,000[/tex] Rs.
    • Food: 15% of 60,000 = [tex]0.15 \times 60,000 = 9,000[/tex] Rs.
    • Other expenses: 25% of 60,000 = [tex]0.25 \times 60,000 = 15,000[/tex] Rs.
    • Savings: He saves the rest, so Savings = 60,000 - (18,000 + 12,000 + 9,000 + 15,000) = 6,000 Rs.

  2. Calculate the New Salary after a 20% Increase:

    • New Salary = 60,000 + 20% of 60,000 = [tex]60,000 + 0.20 \times 60,000 = 72,000[/tex] Rs.

  3. Calculate the New Expenses after the Increases:

    • New Rent: Original Rent + 10% increase = 18,000 + 10% of 18,000 = [tex]18,000 + 0.10 \times 18,000 = 19,800[/tex] Rs.
    • New Electricity: Original Electricity + 5% increase = 12,000 + 5% of 12,000 = [tex]12,000 + 0.05 \times 12,000 = 12,600[/tex] Rs.
    • New Food: Original Food + 5% increase = 9,000 + 5% of 9,000 = [tex]9,000 + 0.05 \times 9,000 = 9,450[/tex] Rs.
    • New Other expenses: Since he spends 25% on other expenses, it remains the same proportion of the new salary. So, 25% of 72,000 = [tex]0.25 \times 72,000 = 18,000[/tex] Rs.

  4. Calculate New Savings:

    • New Savings = New Salary - (New Rent + New Electricity + New Food + New Other expenses) = 72,000 - (19,800 + 12,600 + 9,450 + 18,000) = 12,150 Rs.

Since the savings calculated here doesn't match with any of the given options, it indicates there may have been a misreading or a miswriting of the options. Please verify the given options.

None of the provided options (a. 3480, b. 3580, c. 3590, d. 3780) match the calculated savings correctly. However, according to the calculation, the man's savings after the salary increase should be 12,150 Rs. Please recheck any possible typos in the options given.

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Rewritten by : Barada