Q:
      
      
         
            
What is the compound interest earned at the end of 3 years?
I. Simple interest earned on that amount at the same rate and for the same period is Rs. 4500.
II.The rate of interest is 10 p.c.p.a.
III.Compound interest for 3 years is more than the simple interest for that period by Rs.465.
         
       
      
      
      
          
      
      
          Answer & Explanation
         Answer: D) Either II or III only         
         
Explanation: 
 
 
 
 
 
 
I. gives, S.I for 3 years = Rs. 4500.
 
 
 
II. gives, Rate = 10% p.a.
 
 
 
III. gives, (C.I.) - (S.I.) = Rs. 465.
 
 
 
Clearly, using I and III we get C.I. = Rs. (465 + 4500).
 
 
 
Thus, II is redundant.
 
 
 
Also, from I and II, we get sum =
 
 
 
100 x 4500
 
 
 
= 15000.
 
 
 
10 x 3
 
 
 
Now C.I. on Rs. 15000 at 10% p.a. for 3 years may be obtained.
 
 
 
Thus, III is redundant.
 
 
 
Either II or III is redundant.
       
      
      
      
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