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Prerna Borrowed Rs.16000 from a Friend at 15 % P.A. Compound Interest. Find the Amount , to the Nearest Rupees, that She Needs to Return at the End of 2.4 Years to Clear the Debt.

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Question

Prerna borrowed Rs.16000 from a friend at 15 % p.a. compound interest. Find the amount , to the nearest rupees, that she needs to return at the end of 2.4 years to clear the debt. 

Sum
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Solution

`"C"_1 = (16000 xx 15 xx 1)/100 = 2400`

`"P"_1 = 18400`

`"C"_2 = (18400 xx 15 xx 1)/100 = 2760`

`"P"_2 = 21160`

`"C"_3 = (21160 xx 15 xx 1)/400 = 7935`

`"P"_3 = 29095`

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Concept of Compound Interest - Compound Interest as a Repeated Simple Interest Computation with a Growing Principal
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