Question

7. What sum of money at compound interest will amount to 4499.04 in 3 years, if the rate of
interest is 3% for the first year, 4% for the second year and 5% for the third year?​

Answer 1

Answer:

Total Rate=12%

Let the sum of money be X

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

4499.04=X(1+12/100)^3

4499.04=X(112/100)^3

4499.04=X×1,404,928/1000000

4499.04×1000000=1404928X

1404928X=4499040000

X=4499040000/1404928

X=3,202.32781

so the sum of money =3,202.32781