Rs.2000 amounts to Rs. 2226.05 in 2 years at compound interest. What will be the rate of interest ?
A. 5%
B. 5.25%
C. 5.5%
D. 6%
Answer: Option C
Solution(By Examveda Team)
$$\eqalign{ & {\text{Let the rate be R}}\% {\text{ p}}{\text{.a}}{\text{.}} \cr & {\text{Then,}} \cr & {\text{2000}}{\left( {1 + \frac{{\text{R}}}{{100}}} \right)^2} = 2226.05 \cr & \Rightarrow {\left( {1 + \frac{{\text{R}}}{{100}}} \right)^2} = \frac{{222605}}{{200000}} \cr & \, \Rightarrow {\left( {1 + \frac{{\text{R}}}{{100}}} \right)^2} = \frac{{44521}}{{40000}} \cr & \Rightarrow {\left( {1 + \frac{{\text{R}}}{{100}}} \right)^2} = {\left( {\frac{{221}}{{200}}} \right)^2} \cr & \Rightarrow 1 + \frac{{\text{R}}}{{100}} = \frac{{211}}{{200}} \cr & \Rightarrow \frac{{\text{R}}}{{100}} = \frac{{11}}{{200}} \cr & \Rightarrow {\text{R}} = \frac{{11}}{2}\% \cr & \Rightarrow {\text{R}} = 5.5\% \cr} $$Related Questions on Compound Interest
A. Rs. 120
B. Rs. 121
C. Rs. 122
D. Rs. 123
E. None of these
A. 625
B. 630
C. 640
D. 650
E. None of these
A. Rs. 2160
B. Rs. 3120
C. Rs. 3972
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E. None of these
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B. Rs. 3.06
C. Rs. 4.80
D. Rs. 8.30
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