The income of a person A increases from Rs. 12,000 to Rs. 14,000 and the expenditure increases from 40% to 50%. Find the percentage increase or decrease in the monthly savings of A.

Options

A. `2(7)/(9)%` increase
B. `2(7)/(9)%` decrease
C. 3% increase
D. 3% decrease

Answer

B

Explanation

Saving = Income - Expenditure
In the first case, savings = 60% of 12000 = Rs. 7200.
In the second case, savings = 50% of 14000 = Rs. 7000.
`therefore ` The percentage degree in savings = `(((7200-7000))/(7200)) xx 100 = 2(7)/(9)%.`
Hence, the correct option is (b).