aliensbrain
  • Home
  • Study
  • Quizzes
  • 🎤AI Practicefree
  • Notebooks
  • Community
  • Sign in
Multiple choice

Devinder invested Rs. 80,000 for 2 years and after fetching compound interest, the amount increases to Rs. 88,200. What was the compound rate of interest?

  1. 10%

  2. 8%

  3. 6%

  4. 5%

  5. 2%

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

A = P(1 + r/100)^n. 88200 = 80000(1 + r/100)^2. 1.1025 = (1 + r/100)^2. Taking the square root, 1.05 = 1 + r/100, so r = 5%.

Keep practicing — related questions

  • Deepak opened a recurring deposit account in a bank and deposited Rs. 500 per month for 3 years. If he will...
  • Which of the following is rate of interest given to Radha, if she receives the maturity amount of Rs. 6,455...
  • Calculate the payback period, if a project requires Rs. 1,00,000 as initial investment and it generates a c...
  • Rohit opened a recurring deposit account in the bank by depositing Rs. 250 per month for 11 months. The rat...
  • Mr Ravi had invested Rs. 52,000 in 18% Rs. 200 shares at a premium of 30%. What is the total number of shar...
  • Mr Ravi had invested Rs. 52,000 in 18% Rs. 200 shares at a premium of 30%. What is the total income of Mr. ...
  • The book value of investment is Rs. 1, 20,000 and investment fluctuation fund is appearing at Rs. 15,000. T...
  • COGS = Rs. 2,00,000, Gross loss = Rs. 40,000, Operating expenses = Rs. 30,000 Calculate net sales.

Practice this chapter

  • Simple and Compound Interest (3394 questions)
Advertisement
© Aliensbrain | all rights reserved
  • About
  • Contact
  • Terms and Condition
  • Privacy Policy