New 👉 Ask your RBI Grade B 2025 Preparation Queries Here!!

    Register

    Question

    A sum of Rs. 'p' is invested at a

    compound interest rate of 15% per annum, compounded once every 8 months. After 16 months, the total interest earned is Rs. 1785. Determine the value of 'p'.
    A 8560 Correct Answer Incorrect Answer
    B 8500 Correct Answer Incorrect Answer
    C 6520 Correct Answer Incorrect Answer
    D 7750 Correct Answer Incorrect Answer

    Solution

    ATQ,

    Eective time = (16/8) = 2 terms Eective rate of interest = 15 × (8/12) = 10% So, interest earned = p(1 + 10/100)2 – p = 1785 Or, 1.21p – p = 1785 Or, p = 1785 ÷ 0.21 = 8500

    Practice Next

    Relevant for Exams: