Question

If the amount invested by company B in 2004 is Rs 12 lakhs and the income of 2004 is equal to the investment in 2005, what was the amount of profit earned in 2005 by company B?

• A. Rs 6.6 lakhs
• B. Rs 18.6 lakhs
• C. Rs 10.23 lakhs
• D. Rs 9.6 lakhs
• E. None of these

Answer 1

The correct option is C Rs 10.23 lakhs

Profit earned in 2004
$=\frac{55\times 12}{100}=Rs6.6lakh$
Investment in 2005
= 12 + 6.6 = Rs 18.6 lakh
$\therefore$ Profit earned in 2005
$=\frac{55\times 18.6}{100}=Rs10.23lakh$