Advertisements
Advertisements
Question
Rs.16,000 is invested at 5% compound interest compounded per annum. Use the table, given below, to find the amount in 4 years.
| Year ↓ |
Initial amount (Rs.) |
Interest (Rs.) |
Final amount (Rs.) |
| 1st | 16,000 | 800 | 16,800 |
| 2nd | ........... | ........... | ........... |
| 3rd | ........... | ........... | ........... |
| 4th | ........... | ........... | ........... |
| 5th | ........... | ........... | ........... |
Advertisements
Solution
| Year ↓ |
Initial amount (Rs.) |
Interest (Rs.) |
Final amount (Rs.) |
| 1st | 16,000 | 800 | 16,800 |
| 2nd | 16,800 | 840 | 17,640 |
| 3rd | 17,640 | 882 | 18,522 |
| 4th | 18,522 | 926.10 | 19,448.10 |
| 5th | 19,448.10 | 972.405 | 20,420.505 |
1. P = ₹ 16,000, R = 5%
For 1st year
I = `(PxxRxxT)/100`
= `(16000xx5xx1)/100`
= ₹ 800
A1 = P + I
= 16000 + 800
= 16800
2. For 2nd year
P = ₹ 16,800, R = 5%, T = 1
I2 = `(16800xx5xx1)/100`
I2 = ₹ 840
A2 = P2 + I2
= 16800 + 840
= 17640
3. For 3rd year
P = 17640, R = 5%
I3 = `(17640xx5xx1)/100`
= 882
A3 = P3 + I3
= 17640 + 882
= 18522
4. For 4th year
P = 18522, R = 5%
I4 = `(18522xx5xx1)/100`
= 9261
A4 = 18522 + 926.1
= 19448.10
5. For 5th year
P5 = 19448.10, R = 5%
I5 = `(19448.10xx5xx1)/100`
= `97240.5/100`
= 972.40
A5 = 19448.10 + 972.40
= 20420.50
Thus, the amount in 4 years is Rs. 19448.10.
APPEARS IN
RELATED QUESTIONS
On what sum of money will the difference between the compound interest and simple interest for 2 years be equal to Rs. 25 if the rate of interest charged for both is 5% p.a.?
Calculate the amount and the compound interest for the following:
Rs. 7500 at 12% p.a. in 3 years.
A sum of Rs. 65000 is invested for 3 years at 8 % p.a. compound interest.
Find the sum due at the end of the second year.
Aryan borrowed a sum or Rs. 36,000 for `1 1/2` years at 10 % p.a. compound interest.
Find the amount he needs to return to clear the debt.
Ameeha loaned Rs. 24,000 to a friend for `2 1/2` at 10 % p.a. compond interest.
Calculate the amount received by her at the end of time period.
Calculate the arnount and the cornpound interest for the following:
Rs 12,500 for 3 years at 12% for the first year, 15% for the second year and 17% for the third year.
Prakash borrowed Rs 10,000 from Rajesh for 2 years at 6% and 8% p.a. compound interest for successive years. If Prakash returns Rs 5,600 at the end of the first year, how much does he have to give to Rajesh at the end of the second year to clear the loan?
Calculate the amount and the compound interest on :
Rs. 6,000 in 3 years at 5% per year.
Calculate the amount and the compound interest on :
₹ 4,600 in 2 years when the rates of interest of successive years are 10%and 12% respectively.
A borrowed Rs. 2,500 from B at 12% per annum compound interest. After 2 years, A gave Rs. 2,936 and a watch to B to clear the account. Find the cost of the watch.
