26 Views

Question : A sum of money becomes INR 11,880 after 4 years and INR 17,820 after 6 years on compound interest, if the interest is compounded annually. What is the half of the sum (in INR)?

Option 1: 2,410

Option 2: 2,530

Option 3: 2,640

Option 4: 2,750


Team Careers360 23rd Jan, 2024
Answer (1)
Team Careers360 25th Jan, 2024

Correct Answer: 2,640


Solution : Let the rate of interest per annum be $R$ and principal $P$
According to the question,
(Amount after 4 years): (Amount after 6 years) = 11880 : 17820 = 2 : 3
⇒ [$(1+\frac{R}{100})^{4}$]: [$(1+\frac{R}{100})^{6}$] = 2 : 3
⇒ $(1+\frac{R}{100})^{2}$ = $\frac{3}{2}$
Amount after 4 years =  $P(1+\frac{R}{100})^{4}$
⇒ 11880 = $P(\frac{3}{2})^{2}$
⇒ P = $\frac{11880 × 4}{9}$ = 5280
⇒ $\frac{P}{2}$ = $\frac{5280}{2}$ =  2640
Hence, the correct answer is 2,640.

SSC CGL Complete Guide

Candidates can download this ebook to know all about SSC CGL.

Download EBook

Know More About

Related Questions

TOEFL ® Registrations 2024
Apply
Accepted by more than 11,000 universities in over 150 countries worldwide
Manipal Online M.Com Admissions
Apply
Apply for Online M.Com from Manipal University
View All Application Forms

Download the Careers360 App on your Android phone

Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile

150M+ Students
30,000+ Colleges
500+ Exams
1500+ E-books