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Arjun lends ₹5,000 to a friend at 6% per annum, compounded annually. How much interest (in ₹) will he receive after 2 years?

Competition practiceSimple & Compound Interest
  • A618
  • B600
  • C609
  • D636

Step-by-Step Solution

Amount = , so the compound interest = 5618 − 5000 = ₹618.
Answer: A) 618

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