Anil invests some money at a fixed rate of interest, compounded annually. If the interests accrued during the second and third year are ₹ 806.25 and ₹ 866.72, respectively, the interest accrued, in INR, during the fourth year is nearest to
Explanation
Let the rate of interest is r % per annum
The interest accrued during the second year = ₹ 806.25
The interest accrued during the third year = ₹ 866.72
The extra interest in the third year = 866.72 – 806.25 = ₹ 60.47 is the interest for one year on
the second year interest
60.47 = 
= > r = 7.5%
Interest for the fourth year = Interest for third year + interest for one year on third year interest
= 866.72 + 
= 866.72 + 65 = ₹ 931.72 approximately
Ans (1)