Multiple Choice Questions on In what time wile Rs8 000 become Rs12 167 at 15 per annum compounded annually ........ for SSC (MTS) Preparation

Compound Interest

Quantitative Aptitude (MTS) SSC (MTS)

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Study Notes

    In what time wile Rs8,000 become Rs12,167 at 15% per annum, compounded annually?

    This questions was previously asked in
    SSC MTS 11th October 2021 Shift-3

    3years

    Correct Answer

    2years

    Incorrect Answer

    5years

    Incorrect Answer

    4years

    Incorrect Answer
    Explanation:

    To find out in how many years Rs8,000 becomes Rs12,167 at 15% per annum, compounded annually, we use the compound interest formula:

    \[ A = P(1 + r/n)^{nt} \]

    Where:

    - \( A \) is the final amount (Rs12,167)

    - \( P \) is the principal amount (Rs8,000)

    - \( r \) is the rate of interest (15% or 0.15)

    - \( n \) is the number of times interest is compounded per year (1 for annually)

    - \( t \) is the time in years

    - Calculate \( t \):

    - Plug the values: \( 12,167 = 8,000(1 + 0.15)^t \)

    - Simplify to find \( t \): \( 1.521 = (1.15)^t \)

    - By trial, when \( t = 3 \), \( (1.15)^3 = 1.520875 \) (approximately 1.521)

    - Option:1, 3 years

    - Option:2, 2 years

    - Option:3, 5 years

    - Option:4, 4 years


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