Practicing Success

Target Exam

CUET

Subject

General Test

Chapter

Numerical Ability

Topic

Compound Interest

Question:

What will be the compound interest when ₹13824 is deposited in a bank at \(4\frac{1}{6}\)% per annum compounded annually for 3 years?

Options:

₹1750

₹1801

₹1820

₹1790

Correct Answer:

₹1801

Explanation:

CI for 3 years =  P (1+ \(\frac{25}{6 \times 100}\))³ - P

                     = 13824[ (\(\frac{25}{24}\))³ - 1]

                     = 13824 \(\frac{1801}{13824}\)               

                     = 1801