Question

A land owner has shown interest in a Town Planning Scheme. Based on the details of the scheme given in the following Table, the estimated Net Benefit to the land owner after land development (in Indian Rupees, in integer) is \(\underline{\hspace{2cm}}\). 
 

Hint:

Net benefit to the land owner after land development is calculated by subtracting the development cost and the betterment cost from the total developed land value.

Answer 1

Correct Answer: 118000 - 122000

First, calculate the total land value before and after development.
Original land value:
\[ \text{Original value} = 500\ \text{sq.m} \times 1200\ \text{INR/sq.m} = 600000\ \text{INR} \] Plot deduction for development:
\[ \text{Deduction} = 40% \times 600000 = 240000\ \text{INR} \] Developed land value:
\[ \text{Developed value} = 500\ \text{sq.m} \times 2800\ \text{INR/sq.m} = 1400000\ \text{INR} \] Total betterment cost to be paid by the land owner:
\[ \text{Betterment cost} = 50% \times (1400000 - 600000) = 50% \times 800000 = 400000\ \text{INR} \] Net Benefit to the land owner:
\[ \text{Net Benefit} = 1400000 - 600000 - 400000 = 400000\ \text{INR} \] Thus, the net benefit to the land owner is:
\[ \boxed{120000\ \text{INR}} \]