Question

market value of mutual fund is 400 crore rupees which is divided into 8 crore units (a) suppose you invest ruppes 10,000 in the units how many units will you get (b) while selling the units if their market value is increased by10% how much amount will you get by selling them

Answer 1

Total market value of mutual fund = Rs 400 crore

Total number of units = 8 crore

Hence price of one unit = 400/8 = 50 rs.

a) since the price of one unit is Rs 50,

No of units in rs 10000

= 10000/50

= 200 units.

Hence in 10000 rs one can get 200 units.

b) Initial total amount invested =  Rs 10000

After the increase of 10% market value net price will become

= 10000   +  10x 10000/100

= 10000 + 1000

= 11000 rs.

Hence after an increase in 10% of the market price, we will get Rs 11000 after selling them.