- 102
- 96
- 100
- 106

Option 4 : 106

**Given:**

Selling price of diesel increases by 10% each year.

Present selling price of diesel = Rs. 80 per litre

**Calculation:**

Selling price of diesel after 1 year = 80 × 110/100

Selling price of diesel after 2 years = 80 × 110/100 × 110/100

Selling price of diesel after 3 years = 80 × 110/100 × 110/100 × 110/100 = 80 × 1331/1000 = 106.48 ~ Rs. 106

**Short trick:**

80 × 1.1 × 1.1 × 1.1 = 106.48 ~ Rs. 106

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