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CAT 1996 | Question: 165

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The amount of money invested (in rupees crore) in the core infrastructure areas of two districts, Chittoor and Khammam, Andhra Pradesh as follows:

If the total investment in Khammam shows the same rate of increase in 1997, as it had shown from 1995 to 1996, what appropriately would be the total investment in Khammam in 1997 (in Rs. crore)?

  1. $9,850$ 
  2. $10,000$
  3. $9,170$ 
  4. $8,540$

2 Answers

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% incerase from 1995-96 =  17.93%

 

thus total investment in 1997 =  1.1793 * 8352 = 9850

Option A  is correct
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Total investment in Khammam in $1995 = 7081.6$

Total investment in Khammam in $1996 = 8352$

∴ Percentage increase of investment in Khammamin $1995-96 =  \dfrac{8352-7081.6}{7081.6} = \dfrac{1270.4}{7081.6} = 0.1793 \hspace{0.2cm}i.e. 17.93\%$

Now, in 1997 $\{ 8352 \times 17.93\% = 1497.5136 \hspace{0.1cm} Rs. \}$ extra will be given to Khammam District than 1996

So, total investment in $1997$ will be $(8352+1497.5136 =)Rs.  \hspace{0.1cm}9849.5136  \approx Rs. \hspace{0.1cm}9850$ 

∴ Answer will be Option A)

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