Swara deposited ₹75,000 with a finance company for 3 years at an interest of 12% per annum, compounded annually. What is the compound interest that Swara gets after 3 years?

Correct option is C

Given:

Principal P = ₹75,000

Rate R = 12%

Time T = 3 years

Formula Used:

CI = $$P \left(1 + \frac{R}{100}\right)^T - P$$​​

Solution:

​$$CI = 75000 \left(1 + \frac{12}{100}\right)^3 - 75000 \\ \ \\ = 75000 \left(1.12\right)^3 - 75000 \\ \ \\ = 75000 \times 1.404928 - 75000 \\ \ \\ = 105,369.6 - 75000 \\ \ \\ = ₹30,369.60$$​​