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    Question

    A sum of ₹10,000 is invested at 6% compound interest

    per annum for 2 years, compounded annually. What will be the total amount after 2 years?
    A ₹11,236 Correct Answer Incorrect Answer
    B ₹11,865 Correct Answer Incorrect Answer
    C ₹11,200 Correct Answer Incorrect Answer
    D ₹11,058 Correct Answer Incorrect Answer
    E ₹12,000 Correct Answer Incorrect Answer

    Solution

    The formula for compound interest is: Amount = P(1 + r/100)ᵗ , where P = ₹10,000, r = 6%, and t = 2 years. Substitute into the formula: Amount = 10,000(1 + 6/100)² = 10,000(1.06)² = 10,000 × 1.1236 = ₹11,236 So, the total amount after 2 years is ₹11,236. Correct option: a

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