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Iift 2009 Question 9

This is a detailed step-by-step solution for Iift 2009 Question 9. Understand the concept, common mistakes, and expert tips to solve similar questions in IIFT exam.

IIFT 2009

As the numbers are far apart we can approximate the money allocation data to the nearest multiple of 0.5. The money allocation data can be approximated as below.

Total return on investing Rs. 100 in fund Gama =
5*1.12+4*.95+6*1.15+9.5*1.11+20.5*1.21+15.5*1.08
+17*1.06+2*1.25+3*1.18+10*.92+4*1.1+3.5*.98 = Rs. 109.48.
Hence, total return of an investment of 10 lakhs in fund Gama after a year = 10.948 lakhs 10.95 lakhs.
Hence, option B is the correct answer.

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