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Mathematics

If the letters have usual meanings, the formula for finding compound interest, compounded yearly for the given time is :

2122\dfrac{1}{2} years :

  1. P(1+r100)52PP\Big(1 + \dfrac{r}{100}\Big)^{\dfrac{5}{2}} - P

  2. P(1+r100)52P\Big(1 + \dfrac{r}{100}\Big)^{\dfrac{5}{2}}

  3. P(1+r100)2(1+r200)P\Big(1 + \dfrac{r}{100}\Big)^2\Big(1 + \dfrac{r}{200}\Big)

  4. P(1+r100)2(1+r200)P\Big(1 + \dfrac{r}{100}\Big)^2\Big(1 + \dfrac{r}{200}\Big) - P

Compound Interest

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Answer

Amount for first two years :

A = P(1+r100)2P\Big(1 + \dfrac{r}{100}\Big)^2

For next 12\dfrac{1}{2} year :

Sum = ₹ P(1+r100)2P\Big(1 + \dfrac{r}{100}\Big)^2

A = P(1+r100)2(1+r2×100)12×2=P(1+r100)2(1+r200)P\Big(1 + \dfrac{r}{100}\Big)^2\Big(1 + \dfrac{r}{2 \times 100}\Big)^{\dfrac{1}{2} \times 2} = P\Big(1 + \dfrac{r}{100}\Big)^2\Big(1 + \dfrac{r}{200}\Big)

By formula,

C.I. = A - P = P(1+r100)2(1+r200)PP\Big(1 + \dfrac{r}{100}\Big)^2\Big(1 + \dfrac{r}{200}\Big) - P

Hence, Option 4 is the correct option.

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