Bhavya earns Rs 50,000 per month and spends 80% of it. Due to pay revision, her monthly income increases by 20% but due to price rise, she has to spend 20% more. Find her new savings.
Given, Bhavya earns 50000 per month
And spends 80% of 50000 =
× 50000 = 40000
And savings per month = 50000-40000 = 10000
⇒ Given increment in monthly income = 20% of 50000
=
× 50000 = 10000
⇒ Bhavya’s new income = 50000 + 10000 = 60000
⇒ Increase in expenditure = 20% of 40000 =
× 40000 = 80000
⇒ new expenditure = 40000 + 8000 = 48000
⇒ Bhavya’s new savings = 60000-48000 = 12000
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