A sum of Rs. X amount to Rs. 75867 in 2 years at 12% p.a. , interest compound after every 10 months. What is the value of X ?
Show answer & explanation
Correct answer: A
Explanation
The correct answer is option 1 i.e. 57000.
Compounding period = 10 months
Number of periods = 30 / 10 = 3
Rate per period = 12% × (10/12) = 10%
A = P × (1 + R/100)n
⇒ 75867 = X × (1 + 10/100)3
⇒ 75867 = X × (110/100)3
⇒ 75867 = X × (11/10)3
⇒ 75867 = X × 1331 / 1000
⇒ X = 75867 × 1000 / 1331
⇒ X = 57000