Arithmeticmedium · Past Paper

If the rate of interest is 5% for the first year and 6% for the second year, find the compound interest on Rs 5000 for 2 years.

ARs 565
BRs 550
CRs 580
DRs 600

✓ Correct Answer: ARs 565

A = 5000(1.05)(1.06) = 5565. CI = 5565 - 5000 = 565.

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