Multiple choice

Aditya and Bhushan invested 10000 each in scheme A and scheme B respectively for 3 years. Scheme A offers Simple interest @ 12% per annum and scheme B offers compound interest @ 10%. After 3 years, who will have larger amount and by how much?

  1. Aditya, 280

  2. Bhushan, 280

  3. Adiya, 290

  4. Bhushan, 290

  5. None of these
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Aditya's simple interest is 10000 × 12% × 3 = 3600, so his amount is 13600. Bhushan's compound amount is 10000 × 1.1^3 = 13310, so Aditya has 290 more.

AI explanation

Aditya earns simple interest on 10000 at 12 percent for 3 years, which equals 3600. Bhushan earns compound interest on 10000 at 10 percent, which calculates to 10000 multiplied by 1.1 cubed, giving an interest of 3310. Aditya has a larger amount by 3600 minus 3310, which is Rs. 290.

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