Question

Mr Giridhar spends 50% of his monthly income on household items and out of the remaining he spends 50% on transport, 25% on entertainment, 10% on sports and the remaining amount of Rs. 900 is saved. What is Mr Giridhar's monthly income ?

• A. Rs.6000
• B. Rs.12000
• C. Rs.9000
• D. Cannot be determined

Answer 1

The Correct Option is B

To determine Mr. Giridhar's monthly income, let's break down the information provided. Assume his total monthly income is Rs. I.

First, he spends 50% of his income on household items, so his expenditure here is:

Household Spending = 0.5 × I

Therefore, the income remaining after household spending is:

Remaining Income = I - Household Spending = I - 0.5 × I = 0.5 × I

Out of this remaining income, he spends:

• 50% on transport: 0.5 × 0.5 × I = 0.25 × I
• 25% on entertainment: 0.25 × 0.5 × I = 0.125 × I
• 10% on sports: 0.1 × 0.5 × I = 0.05 × I

The remaining amount, which is saved, is Rs. 900:

Savings = 0.5 × I - (0.25 × I + 0.125 × I + 0.05 × I) = Rs. 900

Simplifying the right side of the equation gives:

0.5 × I - 0.425 × I = 0.075 × I

Thus, we have:

0.075 × I = 900

To find I, divide both sides by 0.075:

I = 900 / 0.075 = 12000

Therefore, the monthly income of Mr. Giridhar is Rs. 12000.