A sum of money put at compound interest amounts in 2 years to ` 672 and in 3 years to ` 714. The rate of… · ABC26GN4189

Subject: General Aptitude · Chapter: Compound Interest · Exam: P.C.S. 2009

A sum of money put at compound interest amounts in 2 years to ` 672 and in 3 years to ` 714. The rate of interest per annum is

(a)5.5%

(b)6.0%

(c)6.25%

(d)6.75%

Answer

Answer (as printed): C

Explanation

S.I. on ` 672 for 1 year = ` (714 – 672) = ` 42. 100 × 42 \ Rate = % = 6.25%. 672 × 1

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

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