Question
If the family decides to increase the expenditure on
Education by 20% for the next year, while keeping the expenditure on other categories the same, what will be the new percentage share of Education in the total expenditure? The pie chart below shows the percentage distribution of the annual expenditure of a family on five categories: Housing, Food, Transportation, Education, and Entertainment. The total annual expenditure is ₹6,00,000.Solution
Current expenditure on Education = (15/100) × 6,00,000 = ₹90,000. Increased expenditure on Education = ₹90,000 × (120/100) = ₹1,08,000. Total new expenditure = ₹6,00,000 + ₹18,000 = ₹6,18,000. New percentage share of Education = (1,08,000/6,18,000) × 100 ≈ 17.47%. Correct option: c)
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