What is the compound interest on Rs. 2,000 at 10% per annum for 2 years?

Topic: Interest
Subtopic: Compound Interest

ARs. 400

BRs. 410

CRs. 420

DRs. 440

Explanation

CI = 2000 * (1.1^2 – 1) = 2000 * 0.21 = 420. Wait, formula is P(1+r/100)^n – P = 2000(1.21 – 1) = 420. Correct is 420.

Exam Relevance

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