Question

Jog places Rs. $2000$ in a bank account for a period of two years and $4$ months at a simple annual interest rate of $3.5$%. How much is in the account at the end of the time period?

• A. $2061$
• B. $2161$
• C. $2261$
• D. $2361$

Answer 1

The correct option is B $2161$

$\Rightarrow$ $P=Rs.2000,R=3.5\%$ and $T=2years4months$

$\Rightarrow$ $A=2000\times (1+\frac{3.5}{100}{)}^2\times (1+\frac{\frac{1}{4}\times 3.5}{100})$

$\Rightarrow$ $A=2000\times (\frac{9}{2}{)}^2\times \frac{807}{800}$

$\Rightarrow$ $A=2000\times \frac{81}{4}\times \frac{807}{800}$

$\Rightarrow$ $A=Rs.2161$