Question

mahindra set up a factory be investing rs 250000 during first two years his profits were 5% and 10% if each year the profit was on previous years capital calculate his total profit in maths

Answer 1

So, for the first year, P = Rs 25,00,000

profit% = 5%

Hence profit = 5% of 25,00,000 = Rs125000

 

Hence, total capital for the next year = Rs 25,00,000 + 125000 = Rs 26,25,000

Profit for second year = 10%

Hence profit = 10% of 26,25,000 = Rs 262500

 

Hence, total profit = Rs1,25,000 + Rs 2,62,500  = Rs387500