A man takes a loan of ₹15,000 from a bank at 8% compound interest per annum, compounded annually. Find the total amount he has to pay after 2 years.
Show answer & explanation
Correct answer: B
Explanation
P = ₹15,000
R = 8%
n = 2 years
Amount = 15,000 × (108/100)²
= 15,000 × 1.08 × 1.08
= 15,000 × 1.1664
= ₹17,496