Multiple choice

Atul invested an amount of Rs. 8000 in a fixed deposit scheme for 2 years at compound interest rate 10 p.c.p.a. How much amount will Atul get on maturity of the fixed deposit?

  1. Rs. 8650

  2. Rs. 9680

  3. Rs. 8840

  4. None of these

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

Amount = Principal × (1 + r/100)^t. Amount = 8000 × (1.10)^2 = 8000 × 1.21 = 9680. Atul will receive Rs. 9680 on maturity.