Question

Ronit borrows Rs.86000 from Akshay for 2 years at 5% per annum simple interest He immediately lends out to Akshay at 5% compound interest compounded annually for the same period. Calculate Ronit’s profit in the transaction at the end of 2 years.

• A. Rs.220
• B. Rs.215
• C. Rs.210
• D. Rs.218
• E. Rs.216

Answer 1

The correct option is B

Rs.215