ЁЯУв Too many exams? DonтАЩt know which one suits you best? Book Your Free Expert ЁЯСЙ call Now!

    Question

    An amount of Rs. 13,000 is invested at a certain annual

    compound interest rate, with interest compounded yearly. After 2 years, the total amount grows to Rs. 18,101.20. Determine the rate of interest at which the investment was made.
    A 16% Correct Answer Incorrect Answer
    B 18% Correct Answer Incorrect Answer
    C 12% Correct Answer Incorrect Answer
    D 20% Correct Answer Incorrect Answer

    Solution

    Let the rate of interest = 'y%' p.a. Total amount received = 13000 X {1 + (y/100)}2┬а= 18101.2 Or, {(100 + y)/100}2┬а= 18101.2 ├╖ 13000 = 1.3924 Or, {(100 + y)/100} = тИЪ1.3924 = 1.18 So, 100 + y = 118 So, y = 118 - 100 = 18 The sum was invested at compound interest of 18% p.a.

    Practice Next
    More Quant Miscellaneous Questions

    Relevant for Exams:

    ask-question