ECONOMICS (CBSE/UGC NET)

ECONOMICS

COMPOUND INTEREST

Please wait while the activity loads.
If this activity does not load, try refreshing your browser. Also, this page requires javascript. Please visit using a browser with javascript enabled.

If loading fails, click here to try again

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]

Treasure won $3, 000 from a radio contest. If she puts this money in a bank account that earns 2.9% interest compounded quarterly, how much total will she earn in 10 years?

A	$4915.59
B	$3933.28
C	$2979.81
D	$4005.09

Explanation:

Detailed explanation-1: -Answer: Rs 4505.96 money will be in the account after 2 years .

Detailed explanation-2: -Compound interest, can be calculated using the formula FV = P*(1+R/N)^(N*T), where FV is the future value of the loan or investment, P is the initial principal amount, R is the annual interest rate, N represents the number of times interest is compounded per year, and T represents time in years.

Detailed explanation-3: -488.86. Hence, Compound interest would be Rs. 488.86.

Detailed explanation-4: -If you deposit P4000 into an account paying 6% annual interest compounded quarterly, how much money will be in the account after 5 years? * After 5 years there will be P3875. 42 in the account After 5 years there will be P8753.

There is 1 question to complete.