Question

    If you invest Rs. 5,000 in a fixed deposit account with

    an annual interest rate of 8%, compounded annually, how much money will you have after 3 years?
    A Rs 5,240 Correct Answer Incorrect Answer
    B Rs 5,640 Correct Answer Incorrect Answer
    C Rs 6,480 Correct Answer Incorrect Answer
    D Rs 6,720 Correct Answer Incorrect Answer

    Solution

    Explanation: Using the compound interest formula: A = P(1 + r)^n, where P = 5000, r = 0.08, and n = 3, the amount after 3 years is Rs 6,720.

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