Correct Answer: (a) Rs. 2,000
Solution:Mohan’s rent expense in 2021 = 35000 × 0.2
= Rs. 7,000
Remaining income = 35000 − 7000 = Rs. 28,000
Mohan’s grocery expense in 2021 = 28000 × 0.3
= Rs. 8,400 Mohan’s savings in 2021 = 35000 − (7000 + 8400) = Rs. 19,600 Mohan’s rent expense in 2022 = 7000 × 1.15 = Rs. 8,050
Mohan’s grocery expense in 2022 = 8400 + 550
= Rs. 8,950 Mohan’s savings in 2022 = 19600 + 400 = Rs. 20,000
So, Mohan’s income in 2022 = 8050 + 8950 + 20000
= Rs. 37,000 So, increase in income = 37000 − 35000
= Rs. 2,000