A sum of Rs. 22,500 is invested at 4% per annum compound interest. What will be the amount after 2 years?
Show answer & explanation
Correct answer: B
Explanation
P = 22500, R = 4%, T = 2 years
According to the formula:
A = P(1 + R/100)²
A = 22500 × (1.04)²
= 22500 × 1.0816
= ₹24336