How much will ₹ 12,000 amount to in 2 years at compound interest, the rates of interest for successive years being 10% and 11% respectively ?

Given,

P = ₹ 12,000

r₁ = 10%

r₂ = 11%

n = 2 years

By formula,

A = $P\Big(1 + \dfrac{r$1}{100}\Big)\Big(1 + \dfrac{r2}{100}\Big)

Substituting values we get :

$\Rightarrow A = 12000 \times \Big(1 + \dfrac{10}{100}\Big) \times \Big(1 + \dfrac{11}{100}\Big) \\[1em] = 12000 \times \dfrac{110}{100} \times \dfrac{111}{100} \\[1em] = 12000 \times \dfrac{11}{10} \times \dfrac{111}{100} \\[1em] = \dfrac{12000 \times 11 \times 111}{10 \times 100} \\[1em] = ₹ 14,652.$

Hence, final amount = ₹ 14,652.