ABC26GN4128 · Compound Interest

Subject: General Aptitude · Chapter: Compound Interest · Exam: 2007 · Marks: · Difficulty:

At what rate percent per annum of compound interest will ₹1600 amount to ₹1852.20 in 3 years? (S.S.C., 2007)
Answer
Answer (as printed):
Explanation
Let the rate be R% per annum. Then, 3  R  1600  1 +  = 1852.20  100  3  R  1852.20 18522 ⇒ 1+  = =  100  1600 16000 3 3  R  9261  21  ⇒ 1+  = =   100  8000  20  R 21 R 1 ⇒ 1+ = ⇒ = ⇒ R = 5. 100 20 100 20 Hence, rate = 5% p.a.

Explanation as extracted from the printed page; notation may be imperfect.

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