The compound interest (in ₹, to the nearest tens) on ₹90,900 for 2 1/2 years at the rate of 10% per annum, compounded annually, is:

The compound interest (in ₹, to the nearest tens) on…

The compound interest (in ₹, to the nearest tens) on ₹90,900 for 2 $\frac{1}{2}$ years at the rate of 10% per annum, compounded annually, is:

Show answer & explanation

Correct answer: C

Explanation

The correct answer is Option 3 i.e. 24,590.

A = $90900\times(1+{10\over100})^2$

A = $90900\times{11\over10}\times{11\over10}$ = 109989

For half a year

Interest = $109989\times5\times1\over100$ = 5499.45

Amount = 109989 + 5499.45 = 115488.45

CI = 115488.45 - 90900 = 24588.45 or 24590 approx