Home › CA Foundation › Quantitative Aptitude › Compound Interest › Rs.5000 lent at 10% per annum compounded annuall…
Rs.5000 lent at 10% per annum compounded annually for 3 years gives compound interest of
ARs.1700
BRs.1655
CRs.1500
DRs.1620
Answer & Solution
Correct answer: B. Rs.1655
1. A = 5000 * (1.10)^3.
2. (1.10)^3 = 1.331.
3. A = 5000 * 1.331 = 6655.
4. CI = A - P = 6655 - 5000 = 1655.
_Source: ICAI BoS Foundation Paper 3, Ch 4 'Math of Finance', p.8_
Related questions
If a sum at compound interest doubles in 6 years, in how many years will it become 8 timesIf the simple interest on a sum at 6% p.a. for 3 years is ₹540, what is the compound interIf CI for 1st year is ₹500 and for 2nd year is ₹525 on a certain sum at the same rate, finThe compound interest on ₹16,000 for 3 years at 5% p.a. compounded annually is:At what rate compounded annually does ₹4,000 amount to ₹4,840 in 2 years?A sum amounts to ₹6,050 at 10% p.a. compound interest in 2 years. Find the principal.Find the difference between CI and SI on ₹10,000 at 10% p.a. for 2 years.The compound interest on ₹5,000 at 10% p.a. for 2 years compounded annually is: