Question

calculate the CI on rupees 10000 for 2 years at 8% per annum?
a)1660
b)1646
c)1664
d)1600​

Answer 1

Principal (P) =Rupees 10,000

Time (n)= 2 years

Rate (R) = 8%

$A= P(1+ \frac{R}{100} )^{n} \\ A=10000(1+ \frac{8}{100} ) ^{2} \\ A=10000(1+ \frac{2}{25} ) ^{2} \\ A=10000( \frac{25 + 2}{25} )^{2} \\ A=10000 \times \frac{27}{25} \times \frac{27}{25} \\ A=11664$

CI=A-P=11,664-10,000=1,664

Therefore, option (c)1664 is correct