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A person invested ₹y in a mutual fund and the value of the investment at the time of redemption was ₹x. If he invested the amount for 3 years and the compound annual growth rate of his investment is 10 %, then the value of yx\frac{y}{x} is:

Solution

✅ Correct Option: 1

CAGR gives x=y(1+0.10)3=y(13311000)x=y(1+0.10)^3=y\left(\frac{1331}{1000}\right). Hence yx=10001331\frac yx=\frac{1000}{1331}.

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