Question

The amount on ₹ 10,800 for 3 years at $12\frac{1}{2}\%$ per annum, compounded annually is

• A. ₹ 15,489 (approx)
• B. ₹ 15,250 (approx)
• C. ₹ 15,377 (approx)
• D. ₹ 15,157 (approx)

Answer 1

The correct option is C

₹ 15,377 (approx)

Here, Prinicipal (P) = ₹ 10800, Time (n) = 3 years,

Rate of interest (R) = $12\frac{1}{2}\%=\frac{25}{2}\%$

$Amount\left(A\right)=P{(1+\frac{R}{100})}^n$

= $10800{(1+\frac{25}{2\times 100})}^3$

= $10800{\left(\frac{9}{8}\right)}^3$

= $10800\times \frac{9}{8}\times \frac{9}{8}\times \frac{9}{8}$

= ₹ 15,377.34

= ₹ 15,377 (approx)