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The compound interest on $2000$ in $2 y e a r s$ at the rate of interest is $4 % p . a$ for the first year and $3 %$ for the second year will be

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142.20

143.40

140.50

141.20

answer is A.

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Detailed Solution

P = 2000

R_{1} = 4, R_{2} = 3

$A = P (1 + \frac{R_{1}}{100}) (1 + \frac{R_{2}}{100}) = 2000 \times (1 + \frac{4}{100}) (1 + \frac{3}{100})$

$= 2000 \times \frac{26}{25} \times \frac{103}{100} = 2142.40$

$C . I = A - P$

$= 2142.20 - 2000 = 142.20$

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