Question

1. In what time will Rs 6400 amount to Rs 7396 at 7.5% per annum, compounded annually?
(1 Point)
O 2 years
O 3 years
O4 years​

Answer 1

Answer:

Let required time is t years.

$6400 \times (1 + \frac{7.5}{100}) {}^{t} = 7396$

$(1 + \frac{75}{1000} ) {}^{t} = \frac{7396}{6400} = ( \frac{86}{80} ) {}^{2} = ( \frac{43}{40} ) {}^{2}$

$(1 + \frac{3}{40} ) {}^{t} = ( \frac{43}{40} ) {}^{2}$

$( \frac{43}{40} ) {}^{t} = ( \frac{43}{40} ) {}^{2}$

i.e. t = 2 years

Ans.