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Mathematics

Calculate the amount and the compound interest on ₹ 8000 in 2122\dfrac{1}{2} years at 15% per annum.

Compound Interest

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Answer

For first year :

P = ₹ 8000

T = 1 year

R = 15%

I = P×R×T100\dfrac{P \times R \times T}{100}

=8000×15×1100= \dfrac{8000 \times 15 \times 1}{100} = ₹ 1200.

Amount = P + I = ₹ 8000 + ₹ 1200 = ₹ 9200.

For second year :

P = ₹ 9200

T = 1 year

R = 15%

I = P×R×T100\dfrac{P \times R \times T}{100}

=9200×15×1100= \dfrac{9200 \times 15 \times 1}{100} = ₹ 1380.

Amount = P + I = ₹ 9200 + ₹ 1380 = ₹ 10580.

For next half year :

P = ₹ 10580

T = 12\dfrac{1}{2} year

R = 15%

I = P×R×T100\dfrac{P \times R \times T}{100}

=10580×15×12100= \dfrac{10580 \times 15 \times \dfrac{1}{2}}{100} = ₹ 793.50

Amount = P + I = ₹ 10580 + ₹ 793.50 = ₹ 11373.50

Compound interest = Final amount - Initial principal

= ₹ 11373.50 - ₹ 8000 = ₹ 3373.50

Hence, amount = ₹ 11373.50 and compound interest = ₹ 3373.50

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