Practicing Success

Target Exam

CUET

Subject

Entrepreneurship

Chapter

Entrepreneurial Opportunity

Question:

A business's total investment is ₹1,00,000, which includes ₹60,000 as capital and ₹40,000 as loan that attracts interest @ 10% per annum. If business earns net profit before interest of ₹20,000. Find out net profit after interest.

Options:

₹10,000

₹14,000

₹16,000

₹18,000

Correct Answer:

₹16,000

Explanation:

The correct answer is option (3) - ₹16,000