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Question : The compound interest on Rs. 64,000 for 3 years, compounded annually at 7.5% p.a. is:

Option 1: Rs. 14,400

Option 2: Rs. 15,705

Option 3: Rs. 15,507

Option 4: Rs. 15,075


Team Careers360 16th Jan, 2024
Answer (1)
Team Careers360 21st Jan, 2024

Correct Answer: Rs. 15,507


Solution : Amount = $P(1+\frac{R}{100})^{n}$ to calculate the answer.
Where P is the principal amount, R is the rate of interest per annum, and n is the time in years.
Amount = $64000(1+\frac{7.5}{100})^{3}$ = Rs. 79,507
CI = Rs. 79,507 – Rs. 64,000 = Rs.15,507
Hence, the correct answer is Rs. 15,507.

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