If the investment increases by ₹ 50 crores and the multiplier is 4, the change in income is:

CA Foundation · Business Economics · MTP · April 2025
If the investment increases by ₹ 50 crores and the multiplier is 4, the change in income is:
(A) A. ₹ 200 crores
(B) B. ₹ 100 crores
(C) C. ₹ 250 crores
(D) D. ₹ 150 crores

Suggested Answer and Working Notes:

Correct Answer: Option (A)

A. ₹ 200 crores

Topics: Determination of National Income

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