alleryStart learning →A Rs 10 lakh specific loan at 9% p.a. earns Rs 12,000 on deposit. Cost capitalised for a full year?
ARs 90,000
BRs 1,02,000
CRs 78,000
DRs 12,000
Answer & Solution
Correct answer: C. Rs 78,000
Interest is 10,00,000 x 9% = 90,000; deducting investment income of 12,000 leaves 78,000 to capitalise.
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