Multiple choice

Rs 16000 become Rs 24334 in 3 years at the rate of R% per annum of compound interest. Find the value of R?

  1. (a) 10

  2. (b) 15

  3. (c) 20

  4. (d) 12

  5. (e) 18
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

16000(1 + R/100)^3 = 24334. (1 + R/100)^3 = 24334/16000 = 1.520875. Taking the cube root, 1 + R/100 = 1.15. R = 15.

AI explanation

Using the compound interest formula, we set up the equation 16000 times (1 plus R/100) cubed equals 24334. Solving for the growth factor gives (1 plus R/100) cubed equals 1.520875, which means 1 plus R/100 equals 1.15. Subtracting 1 and multiplying by 100 gives R equals 15.

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