Multiple choice

Mr. S deposited $Rs. 1,00,000$ in his bank for $2$ years at simple interest rate of $6$%. How much would the final value of deposit be?

  1. $12,000$
  2. $1,12,000$
  3. $1,10,000$
  4. $1,02,000$
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Simple Interest = P * R * T / 100 = 100,000 * 6 * 2 / 100 = 12,000. Final value = Principal + Interest = 100,000 + 12,000 = 112,000.

AI explanation

Using the Simple Interest formula, the interest earned is 1,00,000 times 6 times 2 divided by 100, which equals Rs. 12,000. The final value of the deposit is the sum of the principal and the interest, so 1,00,000 plus 12,000 equals Rs. 1,12,000.

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