Multiple choice

A borrowed Rs. 20,000 from B, at 10% p.a. compound interest. After 1 year, again A borrowed Rs. 10,000 from B at the same rate. Exactly after 1 more year, A won a lottery and wanted to repay the debt. How much would he have to pay to B?

  1. Rs. 34,000

  2. Rs. 34,200

  3. Rs. 35,200

  4. Rs. 35,000

  5. Rs. 36,000
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

First loan of 20,000 grows for 2 years: 20000 * (1.1)^2 = 24200. Second loan of 10,000 grows for 1 year: 10000 * 1.1 = 11000. Total = 24200 + 11000 = 35200.

AI explanation

The first loan of Rs. 20000 is compounded for 2 years, giving an amount of 20000 multiplied by (1.1) squared, which equals Rs. 24200. The second loan of Rs. 10000 is compounded for 1 year, giving an amount of 10000 multiplied by 1.1, which equals Rs. 11000. The total repayment is the sum of these two amounts: 24200 plus 11000 equals Rs. 35200.

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