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Railways PYQCBT 2 2017

RRB NTPC · Question 33

Mr. Sriram invested Rs. 14,000 in FD. How much will he get on maturity, if he invested it at 20% per annum compound interest for 6 months, compounded quarterly?

  1. Rs. 15,437

  2. Rs. 15,434

  3. Rs. 15,436

  4. Rs. 15,435

Show answer & explanation

Answer: (D) Rs. 15,435

Explanation

Quarterly compounding at 20% a year means 5% per quarter, and 6 months = 2 quarters. Amount = 14000 × 1.05² = 14000 × 1.1025 = Rs 15,435.