Question

A sum of Rs 2,400 is borrowed at a half-yearly compound interest rate of 64%.
(i) Find the amount of the debt at the end of one year.
(ii) Find the amount of money required to clear off the debt after 13 years.​

Answer 1

Answer:

Principal, P = Rs. 2400

Rate of interest, I = 12%

Time, T = 2 \frac{1}{2}2

2

1

years

= 5/2 years

Amount, A = P ( 1 + TR /100 )

= 2400 x [1 + (5 × 12)/(2 × 100)]

= 2400 × [ ( 100 + 60 )/200 ]

= 2400 × 160 /200

= RS 3120

ATQ,

1200 + cost of cow = A

Cost of the cow = A - 1200

= 3120 -1200

= Rs 1920