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CMA Foundation · Fundamentals of Business Mathematics and Statistics · Ratios, Variations and Proportions

The monthly incomes of Sunil and Tarun are in the ratio 5:4 and their expenditures are in the ratio 3:2. If Sunil saves ₹4,000 and Tarun saves ₹5,000 a month, what is Sunil's monthly income?

Solving the equations gives Sunil's income as ₹17,500, which is not listed, so the question data does not reconcile with the options.

  1. A₹10,000
  2. B₹12,000
  3. C₹15,000Correct
  4. D₹20,000

Explanation

Let incomes be 5x and 4x. Expenditures are 5x − 4,000 and 4x − 5,000, in the ratio 3:2. So 2(5x − 4,000) = 3(4x − 5,000), giving 10x − 8,000 = 12x − 15,000, so 2x = 7,000 and x = 3,500. Sunil's income = 17,500, which is not an option, so the data fails to match.

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