Question 136

What will be the compound interest on a sum of Rs. 7500/- at 4 p.c:p.a: in 2 years?

Solution

$$A = P (1 + \frac{R}{100})^T$$

=> $$A = 7500 (1 + \frac{4}{100})^2$$

=> $$A = 7500 \times \frac{26}{25} \times \frac{26}{25}$$

=> $$A = 12 \times 676 = 8112$$

$$\therefore$$ Compound Interest = 8112 - 7500

= Rs. 612

Create a FREE account and get: