When income tax is 3 paise in a rupee, a person's net income is Rs. 237650. What will it be when the income tax is raised to 7 paise ?

Answer: Option C

Let the person's gross income be Rs. $$x$$
Then,
⇒ (100 - 3)% of $$x$$ = 237650
⇒ 97% of $$x$$ = 237650
⇒ $$\frac{97x}{100}$$ = 237650
⇒ $$x$$ = $$\left(\frac{237650\times 100}{97}\right)$$
⇒ $$x$$ = 245000
∴ When income tax is raised to 7%, we have :
Net income :
= (100 - 7)% of Rs. 245000
= 93% of Rs. 245000
= Rs. $$\left(\frac{93}{100}\times 245000\right)$$
= Rs. 227850