In how many years the compound interest on Rs. 10,000 at the rate of 10% will be Rs. 2,100? |
1.5 years 2 Years 2.5 Years 3 years |
2 Years |
The correct answer is Option (2) → 2 Years Compound interest formula: $A = P \left(1 + \frac{R}{100}\right)^t$ Where:
Substituting the values into the formula: $12,100 = 10,000 \left(1 + \frac{10}{100}\right)^t$$ Divide both sides by 10,000: $\frac{12,100}{10,000} = (1.1)^t$ $1.21 = (1.1)^t$ Since $(1.1)^2 = 1.21$, we can see that: $t = 2$ Therefore, the correct choice is 2 Years. |