Question
A certain sum of money amounts to ₹12,600 in 2 years
and ₹14,490 in 3 years at compound interest. Find the rate of interest per annum.Solution
Compound Interest formula: A = P(1 + r/100)^t Let the principal be ₹P and the rate be r%. From the given, ₹14,490 / ₹12,600 = (1 + r/100)^(3-2) 14,490 / 12,600 = 1 + r/100 1.15 = 1 + r/100 r = 15% Correct answer: c) 15%
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