An amount of ₹50,000 would become ₹_______ at 20% per annum compound interest, compounded annually, in 4 years.

Question

Question

This question was previously asked in

RPF Constable 2024 Official Paper (Held On 02 Mar, 2025 Shift 2)

Answer 1

Given:

Principal (P) = ₹50,000

Rate (r) = 20% per annum

Time (t) = 4 years

Formula used:

A = P(1 + )^t

Where, A = Amount

Calculations:

A = 50,000(1 + )⁴

⇒ A = 50,000(1 + 0.2)⁴

⇒ A = 50,000(1.2)⁴

⇒ A = 1,03,680

∴ The correct answer is option 1.

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