Allied & ICAR Exam Bank • ALLIED_1840 MCQ • 2 Marks

Section 8: General Aptitude

Quantitative Aptitude

Subtopic: Numerical Computation

Question Statement:

A principal of Rs 12,000 amounts to Rs 14,520 in 2 years at compound interest compounded annually. The annual interest rate is:

Options:

  • (A) 10%
  • (B) 8%
  • (C) 12%
  • (D) 9%

Answer Key:

A

Step-by-Step Solution & Explanation

$14520 = 12000(1 + R/100)^2 \implies (1 + R/100)^2 = 14520/12000 = 1.21 \implies 1 + R/100 = 1.1 \implies R = 10\%$.
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