Question

3. Pritam bought a plot of land for Rs 640000. Its value is increasing by 5% of its previous
value after every six months. What will be the value of the plot after 2 years?​

Answer 1

Answer:

Given:

P=Rs64,000

R=5% for every six months=

2

5

% for a year

Value of the plot after two years =P(1+

100

R

)

n

=64,000(1+

200

5

)

4

=64,000(1.025)

4

=706,440.25

Thus, the value of the plot after two years will be Rs. 706,440.25 .

Answer 2

Explanation:

Given details are:

Price of land is = Rs 640000

Rate of increase= 5% in every six month

By using formula ,

A = P( 1 + R/100)^n

= 640000 ( 1+5/100) ( 1+5/100) ( 1+5/100) ( 1+5/100)

= 640000 ( 1.025 ) ( 1.025 ) ( 1.025 ) ( 1.025 )

= 706440.25

The value of the plot after two years will be Rs 706440.25

Hope it helps you