**Concept: The question tests on the application in Percentage problem in a DS format**

**Solution:**

Jills expenditure on clothes = 2000 and on shoes = 1/2 of that on clothes = 1/2 * 2000 = 1000

We need the total income to get to the answer.**Statement 1:** Jill's income last year was $40000

This gives us the answer. % = (2000 /40000) * 100 = 5%

Answer options could be A or D

Therefore Statement 1 Alone is **Sufficient.****Statement 2:** Jill's income last year was 40 times as much as she spent on shoes

This gives us Jills income as 40 * 1000 = 40,000

Therefore Statement 2 Alone is **Sufficient.**

**Option D**