Practicing Success

Target Exam

CUET

Subject

General Test

Chapter

Numerical Ability

Topic

Compound Interest

Question:

The compound interest on a certain sum at 10% p.a. for $2\frac{1}{3}$ years is ₹1,201.60, interest compounded yearly. The sum is:

Options:

₹ 4,200

₹ 4,800

₹ 5,400

₹ 4,500

Correct Answer:

₹ 4,800

Explanation:

CI rate for 1st 2 years = 10% = \(\frac{1 }{10}\)

 CI rate for \(\frac{1 }{3}\)rd year = \(\frac{10 }{3}\)% = \(\frac{1 }{30}\)

Now,                Principal  :  Amount

For 1st year            10    :     11

For 2nd year            10    :     11

For 1/3rd year          30    :     31

-------------------------------------------------------

Overall                  3000    :    3751

ATQ,

CI = ( 3751 - 3000 )R = 1201.60

1R = 1.6

Now , Sum = 3000R = 3000 × 1.6 = Rs. 4800