Question

¥ 8000 for 2 years at 12 1/2 % per annum compounded annually.

Answer 1

Answer:

₹2125

Step-by-step explanation:

Principle = ₹8000,

Rate = 12 1/2% = 12.5%,

Time = 2yrs

For first year,

I = (P × R × T) ÷ 100

= 8000 × 125 × 1

100 × 10

= ₹1000

Amount = 8000 + 1000

= 9000

For second year,

I = (P × R × T) ÷ 100

= 9000 × 125 × 1

100 × 10

= ₹1125

Amount = 9000 + 1125

= 10125

C.I = Final Amount - Initial Principle

= 10125 - 8000

= ₹2125