Question

A man deposits ₹ 3000 in bank for 3 years which earns him an interest of 8%. What is the amount he gets after 1 year, 2 years and 3 years?

• A. 3400, 4200, 3600
• B. 3420, 3480, 3720
• C. 3500, 3700, 3900
• D. 5000, 5400, 5800

Answer 1

The correct option is B 3420, 3480, 3720

SI = $\frac{\text{Principal}\times \text{time}\times \text{rate}}{100}$

For every ₹100, he gets ₹ 8.

(Since rate is 8% → 8 for every 100)

Therefore, interest earned for ₹ 1 = $\frac{8}{100}$

for ₹ 3000 = 3000 $\times$ $\frac{8}{100}$ = ₹ 240

Simple Interest for 1 year = ₹ 240.

Simple Interest for 2 years = 240 x 2
= ₹480

Simple Interest for 3 years = 240 x 3
= ₹ 720

Therefore, Amount after 1 year = Principal (P) + Simple Interest (SI)

= 3000 + 240

= ₹3240

Amount after 2 years = Principal (P) + Simple Interest (SI)

= 3000 + 480

= ₹ 3480

Amount after 3 years = Principal (P) + Simple Interest (SI)

= 3000 + 720 = ₹ 3720