Question

    Rs. ’P’ invested at a rate of 16% p.a. compound interest (compounded annually) amounts to Rs. 9419.2 at the end of 2 years. Find the simple interest earned at the end of 7 years if the same amount is invested at the same rate.

    A Rs. 7240 Correct Answer Incorrect Answer
    B Rs. 7800 Correct Answer Incorrect Answer
    C Rs. 7840 Correct Answer Incorrect Answer
    D Rs. 7850 Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    According to question; 1.16 × 1.16 × P = 9419.2 Or, P = Rs. 7000 Desired interest = 0.16 × 7 × 7000 = Rs. 7840

    Practice Next

    Relevant for Exams: