Question

The compound interest on ₹2000 for 9 months at 8% per annum being given when the interest is reckoned quarterly is _______ .

• A. ₹122
• B. ₹130
• C. ₹150
• D. ₹145

Answer 1

The correct option is A ₹122

Amount = Principal + C.I
C.I = Amount - Principal
$C.I=P(1+\frac{R}{100}{)}^n-PC.I=P((1+\frac{R}{100}{)}^n-1)$

$C.I.=2000[{(1+\frac{8}{100\times 4})}^{4\times \frac{9}{12}}-1]$
$P=2000,R=8\%p.a,t=9months=\frac{9}{12}year$

$C.I=2000[{(1+\frac{8}{100\times 4})}^{4\times \frac{9}{12}}-1]$ (compounded quarterly)
$=2000[{\left(\frac{102}{100}\right)}^3-1]=₹122$
$\therefore$ The compound interest is ₹122.