1.

The compound interest on Rs 50,000 at 4% per annum for 2 years compounded annually is (a) Rs 4,000 (b) Rs 4,080 (c) Rs 4,280 (d) Rs 4,050

Answer»

(b) Rs 4,080

Explanation: 

P = Rs.50000, R = 4%, T = 2 years

A = P(1+R/100)T 

= 50000(1+4/100)2 

= 50000(1+1/25)2

A = 50000(26/25)2 

= 54080

Compound interest = A – P 

= 54080 – 50000 

= Rs. 4080



Discussion

No Comment Found