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GATE CSE 2026 Session 2 Q4: Profit from buying and selling two stocks

Question

The values of Stock A and Stock B on a particular day are Rs. 50 and Rs. 80, respectively. An investor invests Rs. 100 in Stock A and Rs. 80 in Stock B. He sells all the stocks the next day when the value of Stock A is Rs. 55 and Stock B is Rs. 70. The profit made by the investor is Rs. ________

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Answer: A (official GATE 2026 final answer key)

Concept used: Profit = selling value of the holdings minus the amount invested.

First step: Rs. 100 buys 2 shares of A and Rs. 80 buys 1 share of B; value them at the next day's prices.

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Source: official GATE 2026 Session 2 CS question paper and final answer key, organised by IIT Guwahati. Question paper · Answer key