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₹ 10000, invested at 30% rate of interes...

₹ 10000, invested at 30% rate of interest per annum, but compounded every four months, will give an amount of ₹ ____ in one уеаг.
A)13270
B)13000
C)13300
D)13310

A

13270

B

13000

C

13300

D

13310

Text Solution

AI Generated Solution

The correct Answer is:
To solve the problem of calculating the amount obtained from an investment of ₹10,000 at a 30% annual interest rate, compounded every four months, we can follow these steps: ### Step-by-Step Solution: 1. **Identify the parameters:** - Principal (P) = ₹10,000 - Annual interest rate (R) = 30% - Compounding frequency = every 4 months - Time (T) = 1 year 2. **Calculate the effective interest rate for 4 months:** - Since the interest is compounded every 4 months, we need to determine the interest rate for this period. - The annual interest rate is 30%, so for 4 months (which is 1/3 of a year), the interest rate will be: \[ \text{Rate for 4 months} = \frac{30\%}{3} = 10\% \] 3. **Convert the percentage to a decimal:** - The decimal equivalent of 10% is: \[ \text{Decimal rate} = \frac{10}{100} = 0.10 \] 4. **Calculate the amount after the first 4 months:** - The amount after the first 4 months can be calculated using the formula: \[ A_1 = P \times (1 + r) = 10000 \times (1 + 0.10) = 10000 \times 1.10 = ₹11,000 \] 5. **Calculate the amount after the second 4 months (8 months total):** - Now, we take the new principal (A_1) and calculate the amount after the next 4 months: \[ A_2 = A_1 \times (1 + r) = 11000 \times (1 + 0.10) = 11000 \times 1.10 = ₹12,100 \] 6. **Calculate the amount after the third 4 months (1 year total):** - Finally, we take the new principal (A_2) and calculate the amount after the last 4 months: \[ A_3 = A_2 \times (1 + r) = 12100 \times (1 + 0.10) = 12100 \times 1.10 = ₹13,310 \] ### Final Amount: The total amount after one year is **₹13,310**. ### Answer: Thus, the correct option is **D) ₹13,310**.
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