Skip to main contentSkip to solution

Consider an investment of ₹ 15,000 whose annual values are given below:

June 1, 2022June 1, 2023June 1, 2024June 1, 2025
₹ 15,000₹ 16,500₹ 19,800₹ 20,790

then the CAGR % is: (given (1.386)1/3=1.115(1.386)^{1/3} = 1.115)

Solution

✅ Correct Option: 2

The period from June 2022 to June 2025 is 3 years.

2079015000=1.386\dfrac{20790}{15000}=1.386, so CAGR =(1.386)1/3−1=1.115−1=0.115=(1.386)^{1/3}-1=1.115-1=0.115.

That is 11.5%11.5\% per annum.

Keyboard Shortcuts

  • Left arrow: Previous question
  • Right arrow: Next question
  • S key: Jump to solution
  • Q key: Jump to question