Q. 35.0( 3 Votes )

Out of the four options, only one is correct. Write the correct answer.

The compound interest on Rs 50,000 at 4% per annum for 2 years compounded annually is
A. Rs 4,000

B. Rs 4,080

C. Rs 4,280

D. Rs 4,050

Answer :

Given principal (P) = ₹50000

Rate of interest (R) = ₹4% per annum

Time period (T) = 2yr

We know that,

A = P

A =




= ₹54080

Compound interest, CI = A – P = ₹54080 – ₹50000 = ₹4080

Hence, option (b) is correct.

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