Question

. How did the assumption of Diwani benefit the East India Company?


Answer. The Mughal emperor, in 1765, appointed the Company %s the Diwan of the provinces

of Bengal. The Diwani allowed the Company to exploit the vast revenue resources of Bengal.

This solved a major problem that the company had earlier faced. Although its trade had

expanded, it had to buy most of the goods in India with gold and silver imported from Britain.

The overflow of gold from Britain stopped after the assumption of Diwani. Now revenue from

India could finance Company expenses. These revenues they used to purchase cotton and silk

textiles in India, maintain Company troops and meet the cost of building the Company fort and offices at Calcutta.

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Answer 1

dude this is the right answer and the length is correct too. If you will shorten it more than the teacher must not give the whole marks. so I prefer to copy this only..