What is the compound interest on Rs. 250

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Home Questions HTS8EHUNXX

Target Exam

CUET

Subject

General Test

Chapter

Numerical Ability

Topic

Compound Interest

Question:

What is the compound interest on Rs. 2500 for 2 years at rate of interest 4% per annum?

Options:

180

210

220

204

Correct Answer:

204

Explanation:

Compound interest in 1st year @ 4% p.a. on Rs.2500 = 100

Compound interest in 2nd year @ 4% p.a. on Rs.2600 = 104

Thus, total compound interest at the end of 2nd year becomes Rs.204