Question

At the start of a year there were ₹24,000 in a savings account. After adding ₹56,000 to this the entire amount was invested in the bank at 10% compound interest. What will be the total amount after 3 years ?

• A. 106480

Answer 1

The correct option is A 106480
Total investment = ₹24,000 + ₹56,000 = ₹ 80,000
Rate of interest = 7.5%
Time = 3 years
Amount $=P(1+\frac{r}{100}{)}^n$
$=80,000(1+\frac{10}{100}{)}^3$
$=80,000(\frac{11}{10}{)}^3$
$=80,000\left(\frac{1331}{1000}\right)$
$=80,000\times 1.331$
$=1,06,480$
Thus,the total amount $=₹1,06,480$