paulson spends 75% of his income. his income is increased by

Question

paulson spends 75% of his income. his income is increased by 20% and he increased his expenditure by 10% find the percentage increased in his savings

 

paulson income x

 

he spends =3x/4

remaining income=x/4

now increased income =6x/5

 

exp increased =3x/4*10/100

3x/40

3x/4+3x/40

now increased exp=33x/40

 

now income - now exp=now saving

6x/5-33x/40=15x/40

 

now saving =15x/40

 

if we assume 15/4 is 100%

1/4 is how much

my answer come 0.15

please where did i wrong please explain me and percetage rule also

 

 

 

Answer 1

Something is amiss here. If his salary was increased, AND his expenses increased, then he will not save more money.

 

Let us say his original salary was $100/day; then at a 75% expense rate, he will save $25 dollars/day.

 

Then, he got a raise to $120/day, but his expenses went up to 85%, or $120 x .85 = $102, which when subtracted from $120 leaves only $18.