Find the compound interest on ₹8,000 at 12% per annum for 3 years 4 months,…
2025
Find the compound interest on ₹8,000 at 12% per annum for 3 years 4 months, compounded annually.
- A.
₹3,000
- B.
₹4,000
- C.
₹3,689
- D.
₹3,600
Attempted by 3 students.
Show answer & explanation
Correct answer: C
For 3 complete years, amount = 8000 x 1.12^3 = 11239.424. For the remaining 4 months, simple interest on this amount at 12% per annum is 4%, so final amount is about 11689. Compound interest = 11689 - 8000 = 3689.