Calculate the amount and the compound interest on ₹ 10,000 in 3 years at 8% per annum.

Given:

P = ₹ 10,000

R = 8%

n = 3 years

$\text{A} = P\Big[1 + \dfrac{R}{100}\Big]^n\\[1em] = 10,000\Big[1 + \dfrac{8}{100}\Big]^3\\[1em] = 10,000\Big[1 + \dfrac{2}{25}\Big]^3\\[1em] = 10,000\Big[\dfrac{25}{25} + \dfrac{2}{25}\Big]^3\\[1em] = 10,000\Big[\dfrac{(25 + 2)}{25}\Big]^3\\[1em] = 10,000\Big[\dfrac{27}{25}\Big]^3\\[1em] = 10,000\Big[\dfrac{19683}{15625}\Big]\\[1em] = \Big[\dfrac{19,68,30,000}{15625}\Big]\\[1em] = 12,597.12$

Also

$\text{Compound Interest = Final amount - Original Principal}\\[1em] = ₹ 12,597.12 - ₹ 10,000\\[1em] = ₹ 2,597.12$

Hence, amount = ₹ 12,597.12 compound interest = ₹ 2,597.12.