Question

# A man borrowed Rs.20000 at the rate of 10% per annum compounded annually. The total amount that needs to be paid at the end of one, two, three and four years is a, b, c and d respectively. An equation is defined such that d−bc−a=11k. What is the value of k? 100 1000 1 10 10000

Solution

## The correct option is D 10 Let the amount to be paid after n years be x. x=20000(1+10100)n=20000×pn 11k=20000(p4−p2)20000(p3−p)=p=1.1 k = 10

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