There is 60% increase in an amount in 6 years at simple interest. What will be the compound interest of Rs.10,000 after 3 years at the same rate?

Correct option is D

Given:
The amount increases by 60% in 6 years at simple interest.
Formula Used:
Simple Interest $$SI = \frac{P \times R \times T}{100} ,$$​ where P is the principal, R is the rate of interest, and T is time.
Compound Interest CI = $$P \left(1 + \frac{R}{100}\right)^T - P ,$$​ where P is the principal, R is the rate of interest, and T is the time.
Solution:
​$$60\% \ increase = \frac{P \times R \times 6}{100} , \\60 = 6R \\R = 10\% .$$​​
CI = $$10000 \left(1 + \frac{10}{100}\right)^3 - 10000$$​​
CI =$$10000 \times \left(1.1\right)^3 - 10000$$​​
CI = $$10000 \times 1.331 - 10000 = 13310 - 10000 = 3310 .$$​​
Therefore, the compound interest is Rs. 3310.