Multiple choice

Mohit borrowed Rs. $7,500$ from Sohan at $8$ $\%$ per annum compound interest. After $2$ year Mohit gave Rs. $6,248$ and an old T.V. set to clear his account. Find the cost of the T.V. set.

  1. Rs. $2,500$
  2. Rs. $2,900$
  3. Rs. $3,500$
  4. Rs. $4,200$
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Amount after 2 years = 7500 * (1 + 0.08)^2 = 7500 * 1.1664 = 8748. Mohit paid 6248 in cash, so the T.V. set must cover the remaining balance: 8748 - 6248 = 2500.

AI explanation

Using the compound interest formula, the total amount due after two years is 7500 times 1.08 squared, which equals 8748. Mohit paid 6248 in cash, so the remaining value of the account is 8748 minus 6248. The cost of the TV set is 2500.

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