Multiple choice

Directions: Each question is followed by three statements. You have to study the question and all the three statements given and decide whether any information provided in the statement(s) is redundant and can be dispensed with while answering the questions. What is the compound interest on a sum? A. An amount becomes Rs. 4410 at the compound rate of 5% in 18 months. B. An amount becomes Rs. 5324 in 3 years. C. Compound rate of interest is 10%

  1. Either A alone or B and C together

  2. B and C together

  3. Either B or C

  4. Only C

  5. None
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

To find compound interest, we need the principal, rate, and time. Statement C gives the rate. A gives amount, rate, and time, allowing us to find the principal. B gives amount and time, but without the rate, we cannot find the principal. Thus, A alone or B+C together are sufficient.

AI explanation

To find compound interest, you need the principal, the rate, and the time. Statement A provides the final amount as 4410, the rate as 5%, and the time as 1.5 years, which allows you to calculate the principal and subsequently the interest. Statement B provides the final amount for 3 years, and combining it with the rate from Statement C also allows you to calculate the principal and the interest. Therefore, either A alone or B and C together are sufficient.

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