-
The compound interest on Rs. 4000 for 4 years at 10% per annum will be
-
- Rs. 1856.40
- Rs. 1600
- Rs. 1856
- Rs. 1756.60
Correct Option: A
Here , Principal ( P ) = Rs. 4000 , Compound Interest ( CI ) = ? , Rate ( R ) = 10% , Time = 4 years
Using the given formula ,
| C.I. = P |  |  | 1 + |  | T | − 1 |  | |
| 100 |
| C.I. = 4000 | | | 1 + | | 4 | − 1 | | |
| 100 |
| C.I. = 4000 | | | | 4 | − 1 | | |
| 10 |
C.I. = 4000 (1.4641 – 1)
∴ C.I. = 4000 × 0.4641 = Rs. 1856.4
