0
If in 3 years at simple interest the principal increases by 18%, what will be the compound interest (in Rs) earned on Rs. 25,000 in 3 years at the same rate?
- A4775.4
- B5774.4
- C4557.4
- D5575.4
Answer not set
Discussion 1
Log in or create a free account to reply and vote.
0
CCommunity
Let the rate be r% and principle be p
According to the problem statement, since principle increases by 18% means interest is 0.18p
⇒ 0.18p = (p × r × 3) /100
⇒ r = 6%
Now CI can be given as
⇒ CI = 25000{(1 + 6/100) 3 - 1}
⇒ CI = 25000 × 0.191
⇒ CI = 4775.4
∴ CI is Rs. 4775.4
According to the problem statement, since principle increases by 18% means interest is 0.18p
⇒ 0.18p = (p × r × 3) /100
⇒ r = 6%
Now CI can be given as
⇒ CI = 25000{(1 + 6/100) 3 - 1}
⇒ CI = 25000 × 0.191
⇒ CI = 4775.4
∴ CI is Rs. 4775.4