35 Views

Question : What is the present value of INR 9,360 at an interest rate of 20% at the end of two years compounded annually?

Option 1: INR 6,400

Option 2: INR 6,450

Option 3: INR 6,500

Option 4: INR 6,550


Team Careers360 8th Jan, 2024
Answer (1)
Team Careers360 23rd Jan, 2024

Correct Answer: INR 6,500


Solution : Let the principal amount be Rs. $P$
Compound Interest rate, $r$ = 20%
Time period, $T$ = 2 years
Now, the total amount after Compound Interest = Rs. 9360
So, $P(1+\frac{r}{100})^T$ = 9360
⇒ $P= \frac{9360}{(1+\frac{20}{100})^2}$
⇒ P = 6500
Hence, the correct answer is INR 6,500.

How to crack SSC CHSL

Candidates can download this e-book to give a boost to thier preparation.

Download Now

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