A sum of ₹ 1,536; put at compound interest, amounts to ₹ 1,632 in one year. How much would it amount to in the second year ?

Given, Principal = ₹ 1,536, Amount = ₹ 1,632, T = 1 year

Interest = Amount - Principal

= ₹ 1,632 - ₹ 1,536

= ₹ 96

$\text{Interest for first year} = \dfrac{P \times R \times T}{100}\\[1em] ⇒ 96 = \dfrac{1,536 \times R \times 1}{100}\\[1em] ⇒ R = \dfrac{96 \times 100}{1,536}\\[1em] ⇒ R = 6.25$

For second year:

P = ₹ 1,632, T = 1 year, R = 6.25 %

$\text{Interest} = \dfrac{1,632 \times 6.25 \times 1}{100}\\[1em] = \dfrac{10,200}{100}\\[1em] = ₹ 102$

Amount at the end of second year = P + I

= ₹ 1,632 + 102

= ₹ 1,734

Hence, the amount at the end of second year = ₹ 1,734.