Which is better investment : 6% Rs 100  shares at Rs 120 or 8% Rs 10 shares at Rs 15 ?

8% ₹10 shares at ₹15 is better investment

The correct answer is option (2) : 8% ₹10 shares at ₹15 is better investment

In 1st case :

Income on ₹120 = 6% of ₹ 100

$= ₹ 6$

∴ Income on $₹1 =₹\frac{6}{120}= ₹1.050$

In second case :

Income on ₹15= 8% of ₹ 10

$=₹0.80$

∴ Income on $₹ 1=₹ \frac{0.80}{15}$

$=₹ 0.053$

$∵ 0.053 > 0.050 $

Hence 8% ₹10 shares at ₹15 is better investment