Question : A certain sum becomes $k$ times in 5 years at compound interest. In 30 years, it will become how many times?
Option 1: $5k$
Option 2: $6k$
Option 3: $k^6$
Option 4: $k^5$
New: SSC MTS Tier 1 Answer key 2024 out
Don't Miss: Month-wise Current Affairs | Upcoming Government Exams
New: Unlock 10% OFF on PTE Academic. Use Code: 'C360SPL10'
Correct Answer: $k^6$
Solution : Let the original sum as $P$, the annual interest rate as $R$, and the amount after $n$ years is $kP$. So, $kP=P(1 + \frac{R}{100})^5$ ⇒ $k=(1 + \frac{R}{100})^5$ -----------------(i) After 30 years, $A=P(1 + \frac{R}{100})^{30}$ ⇒ $A=P({(1 + \frac{R}{100})^5})^6$ From equation (i), we get, $A = Pk^6$ ⇒ $\frac{A}{P}=k^6$ Hence, the correct answer is $k^6$.
Application | Cutoff | Selection Process | Preparation Tips | Eligibility | Exam Pattern | Admit Card
Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile