PRC-2 · Chapter 5 · Question 17 of 50
If an investor deposits Rs. 100,000 into a savings account that yields 10% per annum compounded annually, what will be the exact balance at the end of 3 years?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) Rs. 133,100
Explanation
Using the standard compound interest formula S = P(1 + r)^n: S = 100,000 * (1 + 0.10)^3 = 100,000 * 1.331 = Rs. 133,100.
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