What will be the amount on Rs 24000 at the rate of 35% per annum compounded yearly for 2 years?

Options

A. 43740
B. 49870
C. 51785
D. 40890

Answer

To find the amount on Rs 24000 at the rate of 35% per annum compounded yearly for 2 years, we can use the compound interest formula:

**Formula:**
\[ A = P \left(1 + \frac{r}{100}\right)^t \]

Where:
- \( A \) = Amount after time \( t \)
- \( P \) = Principal amount (initial investment)
- \( r \) = Rate of interest per annum
- \( t \) = Time (in years)

**Step 1: Identify the values**
- Principal \( P = 24000 \)
- Rate \( r = 35\% \)
- Time \( t = 2 \) years

**Step 2: Substitute the values into the formula**
\[ A = 24000 \left(1 + \frac{35}{100}\right)^2 \]

**Step 3: Simplify the expression inside the parentheses**
\[ A = 24000 \left(1 + 0.35\right)^2 \]
\[ A = 24000 \left(1.35\right)^2 \]

**Step 4: Calculate \( (1.35)^2 \)**
\[ (1.35)^2 = 1.8225 \]

**Step 5: Substitute back to find \( A \)**
\[ A = 24000 \times 1.8225 \]

**Step 6: Calculate the final amount**
\[ A = 43680 \]

Thus, the amount on Rs 24000 at the rate of 35% per annum compounded yearly for 2 years is **Rs 43680**.