Question

Two different finance companies declare fixed annual rate of interest on the amounts invested with them by investors. The rate of interest offered by these companies may differ from year to year depending on the variation in the economy of the country and the banks rate of interest. The annual rate of interest offered by the two Companies P and Q over the years are shown by the line graph provided below.

An investor invested a sum of Rs. 12 lakhs in Company P in 1998. The total amount received after one year was re-invested in the same Company for one more year. The total appreciation received by the investor on his investment was?

a.

Rs. 2,96,200

b.

Rs. 2,42,200

c.

Rs. 2,25,600

d.

Rs. 2,16,000

Answer: (c).Rs. 2,25,600

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Q. Two different finance companies declare fixed annual rate of interest on the amounts invested with them by investors. The rate of interest offered by these companies may differ...

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