Question

A certain sum becomes Rs.13440 in 3 years at 10% rate of interest compounded annually, what will be the amount (in Rs.) after the 4th year?
1. Rs. 14000
2. Rs. 14700
3. Rs. 14784
4. Rs. 14784.44

Answer 1

Correct Answer - Option 3 : Rs. 14784

Given:

Amount after 3 years = Rs. 13440

Time (n) = 3 years

Rate (R) = 10%

Calculations:

C.I. for the 4th year = 13440 × (10/100) = Rs. 1344

So, the amount after 4th year = 13440 + 1344 = Rs. 14784

∴ The amount after 4th year is Rs. 14784.