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The simple interest accrued on a sum of certain principal is Rs. 7,200/- in six years at the rate of 12 p.c.p.awhat would be the compound interest accrued on that principal at the rate of 5 p.c.p.a. in 2 years.

  • a)
    Rs. 1020/-

  • b)
    Rs.1055/-

  • c)
    Rs.1050/-

  • d)
    Rs.1025/-

  • e)
    None of these

Correct answer is option 'D'. Can you explain this answer?
Most Upvoted Answer
The simple interest accrued on a sum of certain principal is Rs. 7,200...
Given information:
Simple interest, Principal (P) = ?
Time (t) = 6 years
Rate of interest (R) = 12% p.a.
Simple Interest (SI) = Rs. 7,200/-

To find: Compound interest for 2 years at the rate of 5% p.a.

Formula used:
Simple Interest (SI) = (P * R * t) / 100
Compound Interest (CI) = P[(1 + R/100)^t - 1]

Calculation:
Using the simple interest formula:
7200 = (P * 12 * 6) / 100
P = (7200 * 100) / (12 * 6)
P = Rs. 10,000/-

Using the compound interest formula:
CI = P[(1 + R/100)^t - 1]
CI = 10000[(1 + 5/100)^2 - 1]
CI = 10000[(21/20)^2 - 1]
CI = 10000[(441/400) - 1]
CI = 10000[(41/400)]
CI = Rs. 1025/-

Therefore, the compound interest accrued on the given principal for 2 years at the rate of 5% p.a. is Rs. 1025/-. Hence, option (d) is the correct answer.
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The simple interest accrued on a sum of certain principal is Rs. 7,200...
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The simple interest accrued on a sum of certain principal is Rs. 7,200/- in six years at the rate of 12 p.c.p.awhat would be the compound interest accrued on that principal at the rate of 5 p.c.p.a. in 2 years.a)Rs. 1020/-b)Rs.1055/-c)Rs.1050/-d)Rs.1025/-e)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. 7,200/- in six years at the rate of 12 p.c.p.awhat would be the compound interest accrued on that principal at the rate of 5 p.c.p.a. in 2 years.a)Rs. 1020/-b)Rs.1055/-c)Rs.1050/-d)Rs.1025/-e)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. 7,200/- in six years at the rate of 12 p.c.p.awhat would be the compound interest accrued on that principal at the rate of 5 p.c.p.a. in 2 years.a)Rs. 1020/-b)Rs.1055/-c)Rs.1050/-d)Rs.1025/-e)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. 7,200/- in six years at the rate of 12 p.c.p.awhat would be the compound interest accrued on that principal at the rate of 5 p.c.p.a. in 2 years.a)Rs. 1020/-b)Rs.1055/-c)Rs.1050/-d)Rs.1025/-e)None of theseCorrect answer is option 'D'. Can you explain this answer?.
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