Multiple choice

What will be compound interest on a sum of Rs.78125 at 4% per annum in 3 years? (Up to two place of decimal)

  1. 9557

  2. 9559

  3. 9955

  4. 9755

  5. 9555

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Compound interest formula: A = P(1 + r/100)^n. Here A = 78125 × (1.04)^3 = 78125 × 1.124864 = Rs.87880 (approx). CI = A - P = 87880 - 78125 = Rs.9755. The answer is option D.