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How Much Will Rs 14000 Amounts to 2 Years at Compound Interest, If the Rates for the Successive Years Be 5% and 8% Respectively? - Mathematics

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Question

How much will Rs 14000 amounts to 2 years at compound interest, if the rates for the successive years be 5% and 8% respectively?

Sum
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Solution

Here P1 = Rs.14000 and r = 5%
So, Amount after 1 year
= `"P"(1 + "r"/100)`

= `14000(1 + 5/100)`

= `14000 xx (105)/(100)`
= 14700
Thus, P2 = Rs.14700 and r = 8%
Amount after 2 year
= `"P"(1 + "r"/100)`

= `14700(1 + 8/100)`

= `14700 xx (108)/(100)`
= 15876
Hence, Amount = Rs.15876.

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Concept of Compound Interest - Use of Compound Interest in Computing Amount Over a Period of 2 Or 3-years
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Chapter 3: Compound Interest - Exercise 3.1

APPEARS IN

Frank Mathematics [English] Class 9 ICSE
Chapter 3 Compound Interest
Exercise 3.1 | Q 8

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