Question Paper from: SBI PO Prelims 2017

A sum of Rs. 91,000 is borrowed at 20% per annum compounded annually. If the amount is to be paid in two years, the amount will be?

1,20,000 Rs

1,25,760 Rs

1,27,526 Rs

1,31,040 Rs.

1,34,034 Rs

Solution:

Chapter Name: Compound Interest

P = Rs 91000, R = 20%, t = 2 years

Amount = 91000 $\times (1 + \frac{20}{100})^{2}$ =

91000 $\times \frac{120}{100}$ $\times \frac{120}{100}$ =

Rs = 131040

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SBI PO Prelims 2017

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