What is the total amount after 2 years if Rs. 10,000 is invested at 10% compound interest annually?
Correct answer: B. Rs. 12,100
- A. Rs. 12,000
- B. Rs. 12,100
- C. Rs. 12,200
- D. Rs. 12,210
Explanation
The amount is 10,000 × (1.10)², which equals Rs. 12,100. Rs. 12,000 results from applying simple interest instead of annual compounding.
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