English

Daljit Received a Sum of Rs. 40000 as a Loan from a Finance Company. If the Rate of Interest is 7% per Annum Compounded Annually, Calculate the Compound Interest that Daljit Pays After 2 Years.

Advertisements
Advertisements

Question

Daljit received a sum of Rs. 40000 as a loan from a finance company. If the rate of interest is 7% per annum compounded annually, calculate the compound interest that Daljit pays after 2 years.

Numerical
Advertisements

Solution

\[A = P \left( 1 + \frac{R}{100} \right)^n \]
\[ = 40, 000 \left( 1 + \frac{7}{100} \right)^2 \]
\[ = 40, 000 \left( 1 . 07 \right)^2 \]
 = 45, 796
Thus, the required amount is Rs 45, 796. 
Now, 
CI = A - P
 = Rs 45, 796 - Rs 40, 000
 = Rs 5, 796
shaalaa.com
  Is there an error in this question or solution?
Chapter 14: Compound Interest - Exercise 14.1 [Page 5]

APPEARS IN

R.D. Sharma Mathematics [English] Class 8
Chapter 14 Compound Interest
Exercise 14.1 | Q 15 | Page 5

Video TutorialsVIEW ALL [1]

Share
Notifications

Englishहिंदीमराठी


      Forgot password?
Use app×