Advertisements
Advertisements
Question
Find the C.I. on ₹ 15000 for 3 years if the rates of interest are 15%, 20% and 25% for the I, II and III years respectively
Advertisements
Solution
Principal (P) = ₹ 15000
Rate of interest 1 (a) = 15% for year I
Rate of interest 2 (b) = 20% for year II
Rate of interest 3 (c) = 25% for year III
Formula for amount when rate of interest is different for different years is
A = `(1 + "a"/100)^1 (1 + "b"/100)^1 (1 + "c"/100)^1`
Substituting in the above formula, we get
A = `15000(1 + 15/100)(1 + 20/100)(1 + 25/100)`
= `15000 xx 115/100 xx 120/100 xx 125/100`
= 25,875
∴ Compound Interest (C.I.) = A – P
= 25,875 – 15,000
= ₹ 10,875
∴ C.I. = ₹ 10,875
APPEARS IN
RELATED QUESTIONS
In how much time would Rs 5000 amount to Rs 6655 at 10% per annum compound interest?
In what time will Rs 1000 amount to Rs 1331 at 10% per annum, compound interest?
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 |
The value of a machine depreciated by 10% per year during the first two years and 15% per year during the third year. Express the total depreciation of the machine, as percent, during the three years.
Rachna borrows Rs. 12,000 at 10 percent per annum interest compounded half-yearly. She repays Rs. 4,000 at the end of every six months. Calculate the third payment she has to make at end of 18 months in order to clear the entire loan.
Calculate the compound interest on Rs. 5,000 in 2 years; if the rates of interest for successive years be 10% and 12% respectively.
Calculate the difference between the compound interest and the simple interest on ₹ 7,500 in two years and at 8% per annum.
A man borrows Rs 62500 at 8% p.a., simple interest for 2 years. He immediately lends the money out at CI at the same rate and for same time. What is his gain at the end of 2 years?
The number of conversion periods in a year, if the interest on a principal is compounded every two months is ___________
