A saves 20% of his monthly salary. If his monthly expenditure is Rs. 6,500, then his monthly savings is:

Given:

Monthly expenditure = ₹6,500

Percentage of salary saved = 20%

Concept Used:

Monthly savings = 20% of monthly salary

Calculation:

Let the monthly salary be S.

Since 20% of the salary is saved, we can write:

Monthly savings = 20% of S = (20/100) × S

Also, monthly expenditure is 80% of the salary, so:

Expenditure = 80% of S = (80/100) × S = ₹6,500

⇒ (80/100) × S = ₹6,500

⇒ S = ₹6,500 × (100/80)

⇒ S = ₹8,125

Now, monthly savings = (20/100) × ₹8,125 = ₹1,625

∴ His monthly savings is ₹1,625.