A sum of Rs. 10,000 is invested for a term of 2½ years at an interest rate of 8% compounded annually.…
For the two full years the amount is \(10000\times(1.08)^2=11664\). For the remaining half year simple interest at half the annual rate is applied, giving…
Choose your answer
A sum of Rs. 10,000 is invested for a term of 2½ years at an interest rate of 8% compounded annually. The amount on maturity will be :
Answer and explanation
Correct answer C
For the two full years the amount is . For the remaining half year simple interest at half the annual rate is applied, giving . Hence Rs 12130.56.
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