Calculate the amount and the compound interest on ₹ 25,000 for 3 years compounded annually, the rates of interest for successive years being 8%, 9% and 10% respectively.

For first year :

P = ₹ 25,000

T = 1 year

R = 8%

I = $\dfrac{P \times R \times T}{100}$

$= \dfrac{25000 \times 8 \times 1}{100}$ = ₹ 2,000.

Amount = P + I = ₹ 25,000 + ₹ 2,000 = ₹ 27,000.

For second year :

P = ₹ 27,000

T = 1 year

R = 9%

I = $\dfrac{P \times R \times T}{100}$

$= \dfrac{27000 \times 9 \times 1}{100}$ = ₹ 2,430.

Amount = P + I = ₹ 27,000 + ₹ 2,430 = ₹ 29,430.

For third year :

P = ₹ 29,430

T = 1 year

R = 10%

I = $\dfrac{P \times R \times T}{100}$

$= \dfrac{29430 \times 10 \times 1}{100}$ = ₹ 2,943.

Amount = P + I = ₹ 29,430 + ₹ 2,943 = ₹ 32,373.

Compound interest = Final amount - Initial principal

= ₹ 32,373 - ₹ 25,000 = ₹ 7,373.

Hence, final amount = ₹ 32,373 and compound interest = ₹ 7,373.