Aptitude - Stocks and Shares - Discussion

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"You cannot shake hands with a clenched fist."

- Indira Gandhi

Which is better investment: 11% stock at 143 or 9% stock at 117?

[A].

11% stock at 143

[B].

9	3	% stock at 117
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[C].

Both are equally good

[D].

Cannot be compared, as the total amount of investment is not given.

Answer: Option C

Explanation:

Let investment in each case be Rs. (143 x 117).

Income in 1^st case = Rs. 11 x 143 x 117 = Rs. 1287.

143

Income in 2^nd case = Rs. 39 x 143 x 117 = Rs. 1394.25

4 x 117

Clearly, 9 3 % stock at 117 is better.

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Nagarajan. M said: (Tue, Nov 16, 2010 10:50:34 PM)

Completely i cant understand. Why 11% of stock is being multiplied with 117 why not with 143?

Anusha said: (Sat, Jan 1, 2011 11:23:41 PM)

completely i can't understand the problem please explain briefly

Gaurav said: (Sat, Jan 15, 2011 01:00:24 AM)

alternate way in 1st case u get rs 11 on investing rs143. so for getting 1 rs u have to invest 13 rs similarly in 2nd case u have to invest 12 rs for getting 1.so second one is profitable.

Nagendramurthy said: (Mon, Jul 4, 2011 01:19:12 AM)

Alternate 1 case: if we invest rs 143 we get a profit of 11 rs therefore 100 rs how much i.e 143 rs invest 11 rs profit 100 rs ? (10011)/143=7.69 rs profit 2 case: if we invest rs 117 we get 9.75 rs profit therefore for 100 rs how much? i.e 117 rs invest 9.75 rs profit 100 rs ? (1009.75)/117=8.333 rs profit From above we can clearly make out that 2 case is best... I hope you understood the logic.