Find the amount on Rs.800 at 10% compound interest for 2 years.

The calculation confirms 970 as the only matching option. Calculate the accumulated amount directly with A = P(1 + r/100)^n. The supplied calculation is: A = 800(1.1)^2 = 968. Compound interest differs from simple interest because each completed period adds interest to the balance, and the next period earns interest on that enlarged amount. The distractors 980, 960, 968 can arise from using simple interest, omitting the subtraction of principal, rounding too early, or applying the annual rate without adjusting the compounding frequency. A reliable verification is to rebuild the amount period by period and confirm that Amount − Principal equals the reported compound interest whenever interest, rather than amount, is requested. Also check reasonableness: with a positive rate the amount must exceed the principal, and more frequent compounding should not reduce the amount for the same nominal annual rate. This question strengthens formula selection, substitution accuracy and option elimination for SSC, Railway, banking and other aptitude examinations. The question-specific answer remains 970 after this independent check.