Find the compound interest on ₹8,000 at 10% per annum for 2 years, compounded annually.
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. ₹1,680
A = P(1 + R/100)n
= 8000(1 + 10/100)2
= 8000 × 1.21
= 9680
CI = 9680 - 8000 = 1680