Multiple choice

What will be the compound interest on an amount of Rs. 3200 at the rate of 25 p.c.p.a. after 3 years?

  1. Rs. 2050

  2. Rs. 2775

  3. Rs. 2900

  4. Rs. 2550

  5. None of these
Reveal answer Fill a bubble to check yourself
E Correct answer
Explanation

CI = P(1 + r/100)^n - P = 3200(1.25)^3 - 3200. (1.25)^3 = 1.953125. A = 3200 × 1.953125 = 6250. CI = 6250 - 3200 = 3050. This exact value isn't in options A-D, so 'None of these' (E) is correct. The distractors are common miscalculation errors.

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