Accountancy, asked by smahesht840, 3 months ago

2. What will INR 247,000 grow to be in 9 years if it is invested today in an account with an annual interest rate of 11%, when compounding takes place annually?​

Answers

Answered by Darvince
61

Explanation:

present value = 247,000

Time =9 years

annual interest rate = 11%

FV=PV(1+r)^n

FV=247,000(1+11/100)⁹

FV=2,47,000(1+0.11)⁹

FV=247000(1.11)⁹

FV=247000×2.558036924

FV=Rs. 6,31,835.12

.°. The future value is Rs. 6,31,835.12

Answered by Sauron
82

Answer:

Future Value = Rs 6,31,835.12

Explanation:

Solution :

  • Present Value (PV) = Rs.2,47,000
  • Rate of Interest (r) = 11 %
  • Time period (n) = 9 years.
  • Compounding annually

To find :

  • Future Value (FV)

Formula :

  • FV \: = \: PV \: (1 \: + \: r)^n

\longrightarrow FV \: = \: 2,47,000 \: (1 \: + \:  \dfrac{11}{100} )^9

\longrightarrow FV \: = \: 2,47,000 \: (1 \: + \:0.11)^9

\longrightarrow FV \: = \: 2,47,000 \: ( 1.11)^9

\longrightarrow FV \: = \: 2,47,000 \:  \times 2.558036924

\longrightarrow FV = 2,47,000 × 2.558036924

FV = 6,31,835.12

Future Value = Rs 6,31,835.12

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