A certain amount invested at 15% compound interest per annum, compounded annually, becomes ₹4,235 in 2 years. What is 120% of the principal?

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Accepted Answer

1. Find the principal: $P=\dfrac{4235}{1.15^2}=\dfrac{4235}{1.3225}\approx 3202.27$.  
2. Compute 120% of $P$: $1.2P\approx 1.2	imes 3202.27\approx 3842.72$.  
3. The nearest option is **₹3,840**, so answer (d).  
FINAL_ANSWER: d

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