Question
Economics Question on Return on investment
Based on the following diagram answer the question:
Given initial investment is ₹ 200 crores and MPC=0.8. If autonomous investment increases by ₹ 50 crores, the income will increase by ₹ ________ crores.
A
150
B
200
C
250
D
300
Answer
250
Explanation
Solution
The correct option is (C): 250