In the island of Hoola Boola Moola , inhabitants have a strang process of calculating their average incomes and expenditures. According to an old legend prevalent on that island. the average monthly income had to be calculated on the basis of 14 months in a calendar year while the average monthly expenditure was to be calculated on the basis of 9months per year. This would lead to people having an underestimation of their saving since there would be an underestimation of the income and overestimation of their expenditure per month.
Q.Mr. Boogie Woogle comes back from the USSR and convinces his community comprising 273 families to start calculating the average incomeon on the basis of 12 months per calendar year.Now if it is knon that the average estimated income in his community is(according to the old system) 87 Moolahs per month. Then what will be the change in the average estimated savings for the island of Hoola Boola Moola. (Assume that there is no other change).
1) 251.60 Moolahs
2) 282.75 Moolahs
3) 312.75 Moolahs
4) Cannot Be Determined
Q.Mr. Boogie Woogle comes back from the USSR and convinces his community comprising 273 families to start calculating the average incomeon on the basis of 12 months per calendar year.Now if it is knon that the average estimated income in his community is(according to the old system) 87 Moolahs per month. Then what will be the change in the average estimated savings for the island of Hoola Boola Moola. (Assume that there is no other change).
1) 251.60 Moolahs
2) 282.75 Moolahs
3) 312.75 Moolahs
4) Cannot Be Determined
