Multiple choice

A sum of Rs 48000 is invested in a bank which offers compound interest of 12% rate of interest for first year,15% rate of interest for second year and 20% rate of interest for third year . Then find the total intertest at the end of third year.

  1. Rs.24880

  2. Rs.36540.5

  3. Rs.26188.8

  4. Rs. 23545.4

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

For compound interest with varying rates, calculate sequentially: Year 1: 48000 × 1.12 = 53760; Year 2: 53760 × 1.15 = 61824; Year 3: 61824 × 1.20 = 74188.80. Total interest = 74188.80 - 48000 = 26188.80. This matches option C.

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