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Jack’s cash savings is 40% of his income and his expenditure is 20% of

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ktzsikka
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Jack’s cash savings is 40% of his income and his expenditure is 20% of [#permalink] New post   20 Oct 2021, 11:59
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Jack’s cash savings is 40% of his income and his expenditure is 20% of his cash savings. If he invested his remaining amount in stocks, which of the following represents the ratio of expenditure and amount invested in stocks?

A. \(1 : 2\)

B. \(2 : 1\)

C. \(2 : 7\)

D. \(2 :11\)

E. \(2 : 13\)
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E
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Jack’s cash savings is 40% of his income and his expenditure is 20% of [#permalink] New post   26 Oct 2021, 21:06
ktzsikka wrote:
Jack’s cash savings is 40% of his income and his expenditure is 20% of his cash savings. If he invested his remaining amount in stocks, which of the following represents the ratio of expenditure and amount invested in stocks?

A. \(1 : 2\)

B. \(2 : 1\)

C. \(2 : 7\)

D. \(2 :11\)

E. \(2 : 13\)


Let Jack's income be \(100\)

Then savings \(= 40\)

Expenditure =\( \frac{20}{100}*40 = 8\)

Remaining amt. in stocks = \(100 - 48 = 52\)

Required ratio =\( \frac{8}{52}=\frac{2}{13}\)

Ans= E

Hope it's clear.
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Re: Jack’s cash savings is 40% of his income and his expenditure is 20% of [#permalink] New post   27 Oct 2021, 09:23
Cash= .4*Income
Expenditure=.2*Cash=.2*.4=.08
Stocks=1-.4-.08=.52
Expenditure:Stocks = .08:.52 =.02:.13
Ans=E
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Re: Jack’s cash savings is 40% of his income and his expenditure is 20% of [#permalink] New post   12 Nov 2021, 09:17
Here is the OE


Step 1: Understand Question Statement
Cash Savings(S) = 40% of income(I)
Expenditures(E) = 20% of the Cash savings(S)

Step 2: Define Methodology
We know S = 0.4I and
E = 0.2S = 0.2 * 0.4I = 0.08I
Now, we logically deduce that Income = Cash savings + Expenditure + Investment.
We can substitute the value of S and E in terms of I in the above equation, and find the value of investment(In) in terms of I.
Then we can find the ratio of E and In easily.

Step 3: Calculate the final answer
Income = Cash Savings + Expenditure + Investment
I = 0.4I + 0.08I + In
In = I – 0.48I
In = 0.52I
Thus, ratio of E: In = 0.08I : 0.52I = 8 : 52 = 2 : 13

The correct answer is Option E

:please:
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Re: Jacks cash savings is 40% of his income and his expenditure is 20% of [#permalink] New post   29 Jan 2023, 08:10
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Re: Jacks cash savings is 40% of his income and his expenditure is 20% of [#permalink]
29 Jan 2023, 08:10
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