Ravi initially used to save 20% of his monthly income. Recently his monthly income was raised by 25%. His nominal savings also went up by 5%. What percentage of his present nominal income does Ravi currently save?

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SSC CGL 2023 Tier-I Official Paper (Held On: 26 Jul 2023 Shift 1)
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  1. 25%
  2. 20%
  3. 15%
  4. 16.8%

Answer (Detailed Solution Below)

Option 4 : 16.8%
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Detailed Solution

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Calculation:

Let's assume that Ravi's income = 100 unit, 

He saves 20%, so his savings = 20 unit

Now, his income increases 25%, so new income = 125

New savings = 20 × 105/100 = 21

So, the required percentage = 21/125 × 100 = 16.8%

∴ The correct answer is 16.8%

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