You want to earn an annual interest of 10% on a note that you want to buy. What should be the nearest amount (in Taka) that you would pay for the note if it is worth Tk. 5,000 and matures in 9 months?

You want to earn an annual interest of 10% on a note that you want to buy. What should be the nearest amount (in Taka) that you would pay for the note if it is worth Tk. 5,000 and matures in 9 months?

A 4,000

B 5,500

C 4,400

D 4, 750

Solution

Correct Answer: Option E