Renuka invested a sum of Rs. 800 in a post office for 3 years at 5% compound interest compounded annually. How much money will she get at the end of 3 years?

Given

Renuka invested = Rs. 800

Rate = 5%

Time = 3 years

Formula

 A = P(1 + r/100)ⁿ

where, principal = p, rate of interest = r and time = n.

Solution

⇒ 800(1 + 5/100)³

⇒ 800 × 105/100 × 105/100 × 105/100

⇒ 800 × 21/20 × 21/20 × 21/20

⇒ Rs. 926.10 

The correct option is 3.