Mrs Rathna invested Rs 2 lakh in an enterprise for 5 years. Her compound annual growth rate (CAGR) turned out to be 20.5%. The end balance would be: (given $(1.205)^5=2.54$)

Rs. 5.08 lakh

The correct answer is Option (1) → Rs. 5.08 lakh **

The amount grows at a CAGR of $20.5\%$ for 5 years.

So the multiplier is given as $2.54$.

Final amount = $200000 \times 2.54 = 508000$