Question

Bob Marley spends 50% of his monthly income on parties and 20% of the remaining on food. He also saves one fourth of the amount he left after spending on parties and food. His annual savings are of Rs. 36600. Then

a) His monthly income is above Rs. 30,500.

b) His monthly salary is below Rs. 30,500.

Choose the correct option(s) ∶ 

1. Only a 
2. Only b
3. Both a and b
4. Neither a nor b

Answer 1

Correct Answer - Option 4 : Neither a nor b

Given∶

50% of his income spends on parties.

20% of the remaining spends on food.

Savings are 1/4 of the remaining amount after spending on parties and food.

Annual savings = Rs. 36600

Formula Used∶

Basics of percentage.

Calculation∶

According to question,

Money spend on parties = 50%

Remaining amount = 50%

Money spend on food = 20% of 50% = 10%

Remaining amount = (100 - 50 -10) = 40%

Savings = 1/4 of 40% = 36600

⇒ 10% = 36600

100% = 366000

So his monthly income = 366000/12 = Rs. 30,500

∴ The correct option is 4 (neither a and b).