n NISM Certifications
X NISM Series X
Medium

Ms. Roopa invested Rs 1 lakh and received Rs 2 lakh after 5 years. What is her holding period return?

Practice question from NISM Series XA- Investment Adviser (Level 1) Mock Test 7 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. 100%

    Correct answer

  2. B

    50%

  3. C

    100% p.a.

  4. D

    50% p.a.

Why this is the answer

The total return = (Final – Initial)/Initial × 100 = (2,00,000 – 1,00,000)/1,00,000×100 = 100%.

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