If the rate of interest be 4% per annum for first year, 5% per annum…

Question

If the rate of interest be 4% per annum for first year, 5% per annum foe second year and 6% per annum for third year, then the compound interest of Rs.10000 for three years will be ?

Accepted Answer

Option A. Rs. 1575.20. Answer & Solution Answer: Option A Solution: & = Rs.10000 [ ( 1 + 4100 ) ( 1 + 5100 ) ( 1 + 6100 ) ] & = Rs. ( 10000 × 2625 × 2120 × 5350 ) & = Rs. ( 578765 ) = Rs.11575.20 & C .I . = Rs . ( 11575.20 - 10000 ) & \,\,\,\,\,\,\,\,\, = Rs.1575.20