Bhavani spends 68% of her income. Her income increases by 15% and her expenditure increases by 10%. How much is the increase in the percentage of saving? (Use decimal up to 2 digits)

Correct option is D

Given:
Bhavani spends 68% of her income.
Her income increases by 15%.
Her expenditure increases by 10%.
Solution:
Initial Income ( I ) = 100 units .
Initial Expenditure (E) = $$68\% \text{ of } I = 0.68 \times 100 = 68 \text{ units}$$​
Initial Savings (S) = I - E = 100 - 68 = 32 units
New Income ($$I_{\text{new}})$$​:
​$$I_{\text{new}} = I + 15\% \text{ of } I = 100 + 0.15 \times 100 = 115 \text{ units}$$​​
New Expenditure ($$E_{\text{new}} ):$$​​
​$$E_{\text{new}} = E + 10\% \text{ of } E = 68 + 0.10 \times 68 = 68 + 6.8 = 74.8 \text{ units}$$​​

​$$S_{\text{new}} = I_{\text{new}} - E_{\text{new}} = 115 - 74.8 = 40.2 \text{ units}$$​​

Increase in Savings  =$$S_{\text{new}} - S = 40.2 - 32 = 8.2 \text{ units}$$​
Percentage Increase  =​$$= \left( \frac{8.2}{32} \right) \times 100 \approx25.62\%$$​​