Solution -
Given,
P = 4000
R = 25%
T = 3
A = P (1 + (r/100))n
A = 4000 (1 + (25/100))3
A = 4000 ((5/4))3
A = 4000 (125/64)
A = 62.5 × 125
A = 7812.5
C.I. = Amount - Principal
C.I. = 7812.5 - 4000
C.I. = 3812.5
The compound interest is 3812.5
Hence,
The correct answer is option (c) 3812.5