Amit’s salary in 2018 is Rs. 1,26,500. His salary increased by 10% in 2017 and…

2019

Amit’s salary in 2018 is Rs. 1,26,500. His salary increased by 10% in 2017 and by 15% in 2018. What was his salary in 2016?

  1. A.

    Rs. 95,000

  2. B.

    Rs. 1,25,000

  3. C.

    Rs. 1,15,000

  4. D.

    Rs. 1,00,000

Attempted by 20 students.

Show answer & explanation

Correct answer: D

Let Amit’s salary in 2016 be x.

After a 10% increase in 2017, salary = 1.10x.

After a further 15% increase in 2018, salary = 1.10x × 1.15 = 1.265x.

Given 2018 salary = Rs. 1,26,500.

So, 1.265x = 1,26,500

x = 1,26,500 ÷ 1.265 = 1,00,000

Therefore, Amit’s salary in 2016 was Rs. 1,00,000. Hence, the correct answer is Option D.

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