Aman has taken a loan of Rs.50,000 from a bank at the rate of 8% to be compounded annually. How much does he have to pay after 3 years? (Nearest to a Rs.)
Show answer & explanation
Correct answer: C
Explanation
The correct answer is Option 3 i.e. Rs.62,986.
Amount = P(1 + R/100)T
Amount = 50000(1+8/100)3
= 50000(1.08)3
= 62985.6 ≈ Rs. 62986