Question

In beginning of the year 2018, there was ₹24000 in a savings account. After adding ₹56000 to this, the entire amount was invested at 7.5% compound interest. What will be the amount after 2 years?

• A. ₹93050
• B. ₹91550
• C. ₹94350
• D. ₹92450

Answer 1

The correct option is D ₹92450

Total amount to be invested = ₹56000 + ₹24000 = ₹80000.
Time = 2 years , rate = 7.5% p.a.
Amount = $P(1+\frac{r}{100}{)}^t$
= $80000(1+\frac{7.5}{100}{)}^2$
= $80000\times \frac{107.5}{100}\times \frac{107.5}{100}$
= $(8\times {107.5}^2)$
= ₹92450