Prices register an increase of 10% on food grains and 15% on other items of expenditure. If the ratio of an employee's expenditure on food grains and other items be 2 : 5, by how much should his salary be increased in order that he may maintain the same level of consumption as before, his present salary being Rs. 2590 ?

a. Rs. 323.75
b. Rs. 350
c. Rs. 360.50
d. None

• Total expenditure= Rs. 2590
  Let common ratio be x
  then, expenditure on food grains=2x and expenditure on other items = 5x
  therefore, 2x+5x=2590
  7x=2590
  x=370
  so 2x = 2*370=Rs. 740 and 5x = 5*370=Rs. 1850
  increase of 10% on food grains so new price= 740+10% of 740 = 740+74=Rs. 814
  increase of 15% on other items so new price= 1850+15% of 1850 = 1850+277.5=Rs. 2127.50
  Sum of increased prices=814+2127.50=Rs. 2941.50
  difference between new expenditure and old expenditure= 2941.50-2590=Rs. 351.50
  
  so his salary must be increased by Rs.351.50
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