Correct option is B
Given:
Initial Income = ₹91,700
Savings = 20% of income
Increase in Income = 19%
Increase in Expenditure = 35%
Formula Used:
Income = Expenditure + Savings
Solution:
Initial Savings = 20% of 91700 =
Initial Expenditure = 91700 - 18340 = 73360
New Income after 19% increase:
= 91700 × 1.19 = 109123
New Expenditure after 35% increase:
= 73360 × 1.35 = 99036
New Savings = New Income - New Expenditure
= 109123 - 99036 = 10087
Change in Savings = Initial Savings - New Savings
= 18340 - 10087 = 8253
Since New Savings < Initial Savings, the savings decreased by ₹8,253.
Final Answer
So the correct answer is (b)