Find the amount and the compound interest on ₹ 24,000 for 2 years at 10% per annum compounded yearly.

Given:

P = ₹ 24,000

R = 10%

n = 2 years

$\text{A} = P\Big[1 + \dfrac{R}{100}\Big]^{n}\\[1em] \Rightarrow\text{A} = 24,000\Big[1 + \dfrac{10}{100}\Big]^2\\[1em] = 24,000\Big[1 + \dfrac{1}{10}\Big]^2\\[1em] = 24,000\Big[\dfrac{10}{10} + \dfrac{1}{10}\Big]^2\\[1em] = 24,000\Big[\dfrac{(10 + 1)}{10}\Big]^2\\[1em] = 24,000\Big[\dfrac{11}{10}\Big]^2\\[1em] = 24,000\Big[\dfrac{121}{100}\Big]\\[1em] = \Big[\dfrac{29,04,000}{100}\Big]\\[1em] = 29,040$

And

$\text{C.I. = A - P}\\[1em] \Rightarrow \text{C.I.} = 29,040 - 24,000\\[1em] = 5,040$

Hence, the amount = ₹ 29,040 and the compound interest = ₹ 5,040