New SEBI Grade A IT Stream New Batch Starts on Nov 30. Click Here to Enroll

    Register

    Question

    A borrows Rs 7000 from B at 10% p.a compound interest compounded annually. At the end of every year he pays Rs 2200 and at the end of 3rd years he pays all the amount, how much amount does he pay at the end of the 3rd year?

    A Rs. 3718 Correct Answer Incorrect Answer
    B Rs. 3440 Correct Answer Incorrect Answer
    C Rs. 3768 Correct Answer Incorrect Answer
    D Rs. 4235 Correct Answer Incorrect Answer

    Solution

    At the end of the 1st year: Amount = 7000 × 110% = Rs. 7700 Rest amount = 7700 – 2200 = Rs. 5500 At the end of 2nd year: Amount = 5500 × 110% = Rs. 6050 Rest amount = 6050 – 2200 = Rs. 3850 At the end of 3rd year: Amount = 3850 × 110% = Rs. 4235

    Practice Next

    Relevant for Exams: