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  1. A principal of ₹ 10,000, after 2 years compounded annually, the rate of interest being 10% per annum during the first year and 12% per annum during the second year (in rupees) will amount to :
    1. ₹ 12,000
    2. ₹ 12,320
    3. ₹ 12,500
    4. ₹ 11,320
Correct Option: B

Given that , Principal ( P ) = ₹ 10,000, Time = 2 years , r1 = 10% , r2 = 12%
Using the given formula,

A = P 1 +
r1
.1 +
r2
100100

A = 100001 +
10
.1 +
12
100100

A = 100001 +
1
.1 +
3
1025

⇒ A =  10000 ×
11
×
28
= ₹ 12320
1025



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