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Mr. A (banker)

Salary/month Rs.20000
Mr. A is the owner of a property. He has given his property on rent and earning Rs. 3000 per
month on it.
He also pays property tax of 10%
His father is retired from industry C and getting pension of Rs 2500 quarterly.
Find national income and personal income of him?
a) Rs. 20,000; Rs. 23,000
b) Rs. 17,000; Rs. 23,000
c) Rs. 20,000; Rs. 26,500
d) Rs. 17,000; Rs. 26,500

1 Answer

2 votes

Final answer:

Mr. A's national income, which includes his salary and rental income after property tax, is approximately Rs. 22,700 per month. His personal income, which adds his father's pension to the national income, is around Rs. 23,533.33 per month. The closest answer choice is (b) Rs. 17,000; Rs. 23,000.

Step-by-step explanation:

To find Mr. A's national income and personal income, we need to calculate the total earnings and then make deductions where necessary. His salary as a banker is Rs. 20,000 per month. Additionally, he receives Rs. 3,000 per month from renting his property, but he has to pay property tax of 10% on that rental income, which amounts to Rs. 300 (10% of Rs. 3,000).

Subtracting the property tax from the rental income, we get Rs. 2,700. His father also contributes to his personal income by providing a pension of Rs. 2,500 quarterly, which equates to about Rs. 833.33 per month (Rs. 2,500 divided by 3 months).

The national income for Mr. A then is the sum of his salary and rental income after property tax, which is Rs. 20,000 + Rs. 2,700 = Rs. 22,700 per month. The personal income would be the total of his salary, post-tax rental income, and his father's pension, which gives Rs. 20,000 + Rs. 2,700 + Rs. 833.33 ≈ Rs. 23,533.33 per month. Thus, the closest answer from the provided options would be (b) Rs. 17,000; Rs. 23,000, assuming the national income is represented as a post-tax figure and personal income includes the pension.