Question

Neelam’s annual income is Rs. 288000. Her annual savings amount to Rs. 36000. The ratio of her savings to her expenditure is

(A) 1 : 8 (B) 1 : 7 (C) 1 : 6 (D) 1 : 5

Answer 1

(A) 1 : 8

From the question it is given that,

Neelam’s annual income is ₹ 288000

Her annual savings amount to ₹ 36000

So, Neelam’s expenditure = 288000 – 36000

= ₹ 252000

Then, ratio of her savings to her expenditure = 36000/252000

= 36/252

Divide both numerator and denominator by 12.

= 3/21

Again, divide both numerator and denominator by 3.

= 1/7

Therefore, ratio of her savings to her expenditure = 1 : 7