Question

A certain amount was deposited into a bank account having a simple interest rate of 5%. If the total amount after 4 years was ₹1,500, how much was the amount deposited initially? For the same initial amount, how should the interest rate increase such that the simple interest would amount to ₹400?​

Answer 1

Answer:

Rs. 1000 have been deposited in a bank at interest rate of 5% compounded annually.

The formula for future amount in a compound based interest (calculated annually) is

A=P(1+r)

t

where P,r and t are the principle amount,interest rate and time(in years) respectively.

Calculating for P=1000,r=0.05 and t=12

A=1000(1+0.05)

12

⇒A≈ Rs. 1795.85

Answer 2

Step-by-step explanation:

See this attachment...

Hope its help..