Question

Nithya deposited Rs. $100$ per month for $12$ months in a bank's recurring deposit account. If the bank pays interest at the rate of $10\%$ per annum, find the amount she gets on maturity.

• A. $1205$
• B. $1265$
• C. $1345$
• D. $1450$

Answer 1

The correct option is B $1265$

Given: $P=100,T\left(n\right)=12$ months, $R=10\%$
Equivalent principal for $12$ months $=$ $100\times \frac{n(n+1)}{2}$
$=$ $100\times \frac{12\left(13\right)}{2}$
$=50\times 12\times 13$
Interest $=$ $\frac{PRT}{100}$
$=$ $\frac{50\times 12\times 13\times 10\times 1}{100\times 12}$
$=$ $65$
Maturity amount $=$ P$\times$T $+$ Interest
$=$ $100\times 12+65$
$=$ Rs. $1265$