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Sonia Had a Recurring Deposit Account in a Bank and Deposited Rs. 600 per Month for 2 1/2 Years. If the Rate of Interest Was 10% P.A., Find the Maturity Value of this Account. - Mathematics

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Question

Sonia had a recurring deposit account in a bank and deposited Rs. 600 per month for 2 1/2 years. If the rate of interest was 10% p.a., find the maturity value of this account.

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Solution

Given: P = Rs. 600, n 30months and r = 10%

∴ I = `Rs(600 xx (30(30+1))/(2xx12) xx 10/100) = Rs 2325`

Since sum deposited = P x n = Rs. 600 x 30 Rs. 18000.

Thus, the maturity value Rs. (18000 + 2325)  = Rs. 20325

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