Question

a man borrows rs. 10000 at 10% p.a compound interest compounded yearly, at the end of each year he pays back 20% of the amount for that year, how much money is left unpaid for the second year​

Answer 1

Answer:

Sum=Rs.10,000

Rate of interest=10%

Interest for one year= 10000×10×1 /100

=Rs.1000

Total amount=10000+1000=Rs.11000

At the end of first year he pay =20% of11000= 20/100 ×11000=Rs.2200

Amount left=11000−2200=Rs.8800

∴ Interest for second year= 8800×1×10/100

=Rs.880

Total amount aftre 2 year=8800+880

=Rs.9680

At the end of second year he pay=20%of9680= 20/100×9680=Rs.1936

He pay again rs 3000 then the amount left=9680−1936=Rs.7744

Answer 2

$\big\langle\Big\langle\bigg\langle\Bigg\langle\LARGE\;\underbrace{\underline{\sf{Understanding\;the\;Question}}}\big\rangle\Big\rangle\bigg\rangle\Bigg\rangle$

Here the Concept of compound interest is the addition of interest to the principal sum of a loan or deposit, or in other words, interest on interest. It is the result of reinvesting interest, rather than paying it out, so that interest in the next period is then earned on the principal sum plus previously accumulated interest.

Let's do it !!

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★ Formula Used :

$A=P(1+\frac{r}{n} )nt$

A = final amount

P = initial principal balance

r = interest rate

n = number of times interest applied per time period

t = number of time periods elapsed

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★ Solution :-

Given,

The Sum=     Rs.10,000

The Rate of interest = 10%

Formula= $A=P(1+\frac{r}{n} )nt$

so , the answer will be,

Interest for one year = $\frac{10000\times10\times1}{100} = Rs. 1000$

Total amount to be paid=10000+1000=Rs.11000

At the end of first year he pay =30% of 10000=  $\frac{30}{100}$×10000=Rs.3000

Amount left=11000−3000=Rs.8000

∴ Interest for second year=$\frac{8000\times1\times10}{100}$=Rs.800

Total amount after 2 year=8000+800=Rs.8800

He pay again Rs. 3000 then the amount left=8800−3000=Rs.5800

Now the answer is,

Rs.5800