A's monthly salary was ₹40000 and he used to save ₹10000 per month. His salary increased by 25% and expenditure increased by 15%. By what percent his savings increased?
Answer & explanation
Correct answer: option 3
A's monthly salary = ₹40000
saving per month = ₹10000
Expenditure = 30000
Salary increased by 25% = 1.25*40000 = 50000
expenditure increased by 15% = 1.15*30000 = 34500
Savings = 50000-34500 = 15500
Increase in savings = 15500-10000 = 5500
% Increase = 5500*100/10000 = 55%
The correct answer is Option (3) → 55%