The Income and Expenses topic is an important part of the Quantitative Aptitude section in the IBPS PO exam. These questions test a candidate’s basic understanding of profit management, budgeting, and analytical skills, which are essential for any banking professional. Practicing this topic can significantly boost your score. In this blog, we will cover the concept, types of questions, tips to solve them quickly, and a Free PDF to practice Income and Expenses Questions for IBPS PO 2025.
What are Income and Expenses Questions?
Income and Expenses questions involve calculations based on an individual’s or entity’s earnings and expenditures. These questions are often framed in simple scenarios, where you’re required to calculate:
- Savings
- Total Income or Total Expenses
- Percentage-based changes
- Monthly/Annual financial data
- Comparisons between two individuals’ finances
Example:
Question:
Ravi’s monthly income is 25% more than Amit’s income. Amit spends 80% of his income, while Ravi spends 70% of his income. If Ravi’s savings are ₹5,400, what is Amit’s savings?
a) ₹3,600
b) ₹4,000
c) ₹4,200
d) ₹4,500
e) ₹2,880
Solution:
Let Amit’s income = ₹100
Then Ravi’s income = ₹100 + 25% of ₹100 = ₹125
Amit’s expenses = 80% of ₹100 = ₹80
Amit’s savings = ₹100 – ₹80 = ₹20
Ravi’s expenses = 70% of ₹125 = ₹87.5
Ravi’s savings = ₹125 – ₹87.5 = ₹37.5
Now, if Ravi’s savings = ₹5,400, then:
₹37.5 ≡ ₹5,400
So, ₹1 ≡ ₹5,400 ÷ 37.5 = ₹144
Thus, Amit’s savings = ₹20 × ₹144 = ₹2,880
Thus, correct answer is option e.
Types of Income and Expenses Questions
The income and expenses questions are of various types, like savings-based problems, percentage-based problems, comparative problems, monthly or yearly budget-based problems, and family income-based problems. Below are the most common types you’ll see in the IBPS PO exam:
- Income – Expense = Savings
- If a person earns ₹X and spends ₹Y, the savings are ₹(X – Y).
- Percentage-Based Problems
- When expenses are given as a percentage of income.
- Example: A man spends 75% of his income. If his savings are ₹5,000, find his income.
- Comparative Problems
- Comparing incomes and expenses of two or more individuals.
- Monthly or Yearly Budget Problems
- Questions may require converting values across months or years.
- Family Income-Expense Based Scenarios
- Total income/expenses of family members and joint savings calculations.
Important Formulas to Remember
Remember the formulas provided below for savings, income, expenses, and percentage savings and percentages to solve income and expenses questions.
- Savings = Income – Expenses
- Income = Expenses + Savings
- Expenses = Income – Savings
- Savings % = (Savings / Income) × 100
- Expenses % = (Expenses / Income) × 100
Tips to Solve Income and Expenses Questions Quickly
To solve the income and expenses questions quickly in the exam, you should follow the tips provided below, or you can also use your own approach to solve the questions quickly. The mental math technique is one of the most popular approaches to solving these types of questions.
- Understand the Structure:
- Break down the question into income, expenses, and savings.
- Use Percentage Conversions:
- Convert all percentage values into numerical terms.
- Read Carefully:
- Check if the question is asking for savings, expenses, or percentage.
- Practice Mental Math:
- Helps in quick calculations, saving time in the exam.
- Work with Assumptions:
- For some percentage questions, assume income as ₹100 to simplify.
Download Free PDF: Income and Expenses Questions for IBPS PO
We’ve compiled the most important Income and Expenses questions for IBPS PO with detailed solutions.
This PDF includes:
- 10 Practice Questions in English and Hindi language
- Answers with Detailed Explanations
- Based on Latest IBPS PO Exam Pattern
Disclaimer: The income and expenses questions, solutions, and preparation tips provided here are intended solely for practice and learning purposes. They are based on exam trends and expert analysis, not official IBPS content. While these materials aim to strengthen your preparation, they do not guarantee reflection in the actual IBPS PO 2025 exam. Candidates should always refer to the official IBPS notifications and syllabus for authoritative information.
Conclusion
Mastering Income and Expenses Questions is essential for scoring well in the IBPS PO Quant section. With concept clarity, smart solving techniques, and regular practice, you can confidently approach these questions in the exam.
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Also Read:
Income and Expenses Questions for IBPS PO: FAQs
Usually, 1–2 questions may appear, often in the form of word problems.
Yes, Quantitative Aptitude continues in Mains, and such arithmetic topics are common.
The basic formula for income and expenditure is: income – expenditure = savings.
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