A person saves 10% of his income. If his expenditure is ₹360, then his income (in ₹) is:
- AOption (a)
36
- BOption (b)
440
- COption (c)
400
- DOption (d)
324
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Correct answer
400
Why this answer is correct
Shortcut Trick
Savings = 10%, therefore Expenditure = 90%.
90% of Income = ₹360
100% of Income = (360 ÷ 90) × 100 = 4 × 100 = ₹400.
∴ The correct answer is ₹400.
Alternate Method
Given:
Savings percentage = 10%
Expenditure = ₹360
Formula Used:
Income = Expenditure + Savings
⇒ Let total Income be x.
⇒ Savings = 10% of x = 0.1x
⇒ Expenditure = Income − Savings
⇒ 360 = x − 0.1x
⇒ 360 = 0.9x
⇒ x = 360 ÷ 0.9
⇒ x = 3600 ÷ 9 = 400
∴ The correct answer is ₹400.
Additional Information
Percentage Change in Income
If income increases by a% and expenditure increases by b%, the new values can be calculated using the base multiplier (1 + r/100).
Savings Ratio
The ratio of Income : Expenditure : Savings is vital for solving complex arithmetic problems involving multiple people.
Base Value Concept
In income-based problems, the Total Income is always considered as the 100% base value for calculations.