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The simple interest accrued on a sum of certain principal is Rs. 2000 in five years at the rate of 4 p.c.p.a. What would be the compound interest accrued on same principal at the same rate in two years ?
  • a)
    Rs. 716 
  • b)
    Rs. 724 
  • c)
    Rs. 804 
  • d)
    Rs. 816
  • e)
    None of these
Correct answer is option 'D'. Can you explain this answer?
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The simple interest accrued on a sum of certain principal is Rs. 2000 ...
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The simple interest accrued on a sum of certain principal is Rs. 2000 ...
Given:
Simple Interest = Rs. 2000
Time = 5 years
Rate = 4% p.a.

To find:
Compound Interest for 2 years at the same rate

Solution:
Let the principal be P.

Simple Interest = (P * R * T) / 100

2000 = (P * 4 * 5) / 100
P = Rs. 10000

Compound Interest = P * (1 + R/100)^n - P
where n is the time period in years

Compound Interest = 10000 * (1 + 4/100)^2 - 10000
Compound Interest = Rs. 816

Therefore, the compound interest accrued on the same principal at the same rate in two years is Rs. 816, which is option (d).
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The simple interest accrued on a sum of certain principal is Rs. 2000 ...
816
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The simple interest accrued on a sum of certain principal is Rs. 2000 in five years at the rate of 4 p.c.p.a. What would be the compound interest accrued on same principal at the same rate in two years ?a)Rs. 716b)Rs. 724c)Rs. 804d)Rs. 816e)None of theseCorrect answer is option 'D'. Can you explain this answer?
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The simple interest accrued on a sum of certain principal is Rs. 2000 in five years at the rate of 4 p.c.p.a. What would be the compound interest accrued on same principal at the same rate in two years ?a)Rs. 716b)Rs. 724c)Rs. 804d)Rs. 816e)None of theseCorrect answer is option 'D'. Can you explain this answer? for Quant 2024 is part of Quant preparation. The Question and answers have been prepared according to the Quant exam syllabus. Information about The simple interest accrued on a sum of certain principal is Rs. 2000 in five years at the rate of 4 p.c.p.a. What would be the compound interest accrued on same principal at the same rate in two years ?a)Rs. 716b)Rs. 724c)Rs. 804d)Rs. 816e)None of theseCorrect answer is option 'D'. Can you explain this answer? covers all topics & solutions for Quant 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for The simple interest accrued on a sum of certain principal is Rs. 2000 in five years at the rate of 4 p.c.p.a. What would be the compound interest accrued on same principal at the same rate in two years ?a)Rs. 716b)Rs. 724c)Rs. 804d)Rs. 816e)None of theseCorrect answer is option 'D'. Can you explain this answer?.
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