Advertisements
Advertisements
Question
Calculate the amount and compound interest on Rs 18000 for `2 1/2` years at 10% per annum compounded annually.
Advertisements
Solution
Principal (P) = Rs 18,000
Rate (R) = 10% annual
Number of years (n) = `2 1/2` year
The amount for 2 years and 6 months can be calculated by first calculating the amount for 2 years using the compound interest formula, and then calculating the simple interest for 6 months on the amount obtained at the end of 2 years.
Firstly, the amount for 2 years has to be calculated.
`A = Rs[18000(1 + 1/10)^2] = Rs (18000xx11/10xx11/10)` = Rs 21780
By taking Rs 21780 as principal, the S.I. for the next `1/2` year will be calculated.
S.I = Rs `((21780 xx 1/2 xx 10)/100)` = Rs 1089
∴ Interest for the first 2 years = Rs (21780 − 18000) = Rs 3780
And interest for the next `1/2` year = Rs 1089
∴ Total C.I. = Rs 3780 + Rs 1089 = Rs 4,869
A = P + C.I. = Rs 18000 + Rs 4869 = Rs 22,869
APPEARS IN
RELATED QUESTIONS
The interest on a sum of Rs 2000 is being compounded annually at the rate of 4% per annum. Find the period for which the compound interest is Rs 163.20.
The difference between the S.I. and C.I. on a certain sum of money for 2 years at 4% per annum is Rs 20. Find the sum.
At what rate percent per annum will a sum of Rs 4000 yield compound interest of Rs 410 in 2 years?
Find the amount and the compound interest.
| No. | Principal (₹) | Rate (p.c.p.a.) | Duration (Years) |
| 1 | 2000 | 5 | 2 |
| 2 | 5000 | 8 | 3 |
| 3 | 4000 | 7.5 | 2 |
Mohit invests Rs. 8,000 for 3 years at a certain rate of interest, compounded annually. At the end of one year it amounts to Rs. 9,440. Calculate:
- the rate of interest per annum.
- the amount at the end of the second year.
- the interest accrued in the third year.
What sum will amount of Rs. 6,593.40 in 2 years at C.I. , if the rates are 10 per cent and 11 per cent for the two successive years ?
Rekha borrowed Rs. 40,000 for 3 years at 10% per annum compound interest. Calculate the interest paid by her for the second year.
Find the amount and the compound interest payable annually on the following :
Rs.25000 for 1`(1)/(2)` years at 10% per annum.
The compound interest payable annually on a certain sum for 2 years is Rs 40.80 and the simple interest is Rs 40. Find the sum and the rate percent.
In how many years will ₹ 3375 become ₹ 4096 at `13 1/3` p.a if the interest is compounded half-yearly?
