A person invested Rs 200000 in a fund for one year. At the end of the year, the investment was worth Rs 216000. Calculate his rate of return.
Answer & explanation
Correct answer: option 4
The correct answer is option (4) : 8%
Given current value of investment $= ₹216000$
Cost of investment $= ₹ 200000$
∴ Rate of return $=\frac{216000-200000}{200000}×100$%
$= 8$%