Question

Bittu's salary in first 7 months is Rs 10000/month and in next 5 months is Rs 12000/month. If his annual savings is Rs 20000, then find his average monthly income.
1. Rs 10000
2. Rs 12500
3. Rs 18000
4. Rs 16000

Answer 1

Correct Answer - Option 2 : Rs 12500

Given:

Bittu's salary in first 7 months = Rs 10000/month

Bittu's salary in next 5 months = Rs 12000/month

Bittu's annual savings = Rs 20000

Formula used:

Total annual income = (Per month salary) × Number of months + Annual savings

Average monthly income = Total annual income/12

Calculations:

Total annual income = (10000 × 7) + (12000 × 5) + 20000

⇒ Rs 150000

Average monthly income = 15000/12

⇒ Rs 12500

∴ The Bittu's average monthly income is Rs 12,500.