Practicing Success

Target Exam

CUET

Subject

General Test

Chapter

Numerical Ability

Topic

Compound Interest

Question:

A sum of money on compound interest triples itself in 20 years. After 40 years, it will become :

Options:

8 times

9 times

10 times

11 times

Correct Answer:

9 times

Explanation:

We have,

A sum of money on compound interest triples itself in 20 years.

Means,

           Sum       Amount             Time

            1             3              ( In 20 years)

            1            32 = 9       ( In 40 years)

Method,

If the amount (a) becomes n time after p years then, after n × m time the amount will become am