A sum of rs 200 lent out at compound interest, compounded annually amount to rs 220.50 in two years, what is the rate of interest
Answers
hola mate
here is ur answer
hope this helps.
❤❤❤❤❤❤
Solution:
Given:
A sum of rs 200 lent out at compound interest, compounded annually amount to rs 220.50 in two years.
Find:
What is the rate of interest.
Calculations:
→ Principal = 200
→ Amount = 220.50
→ Number of years = 2 years
→ Rate = (?) Find
Formula:
A = P (1 + R/100)^n
-----------------------------------------------------------
→ 220.50 = 200 (1 + K/100)²
→ 22050/2000 = 1 + R²/10000 + 2R/100
→ 22050/20000 = 1 + R²/10000 + R/50
→ 10000 + R² + 200R/10000 = 22050/20000
→ 220500000/20000 = 10000 + R² + 200 R
→ 11025 = 10000 + R² + 200R
→ R² + 200R = 11025 - 10000
→ 1025
-----------------------------------------------------------
→ R² + 200R - 1025 = 0
→ R² + 205R - 5 R - 1025 = 0
→ R (R + 205) - 5(R - 1025) = 0
→ R - 5
→ R = 5
→ R - 5
→ R = - 505
As rate cannot be in negative rate = 5% s.a
Comparing quantities:
Comparing quantities means comparing of two things in this chapter we learn all things about comparing and about finding amount, rate, loss or profit etc...
Example: Question:––
The sum of 10,000 is borrowed at a rate of interest 15% per annum for 2 years, find the simple interest on this sum and the amount to paid at the end of 2 years.
Solution:
This could be solved very easily in simple steps!
₹100 = interest charges for 1 year = ₹15.
₹10,000 = interest changed = 15/100 × 10,000 = ₹1500.
Interest for 2 years = ₹1500 × 2 = ₹3000
Formula:
Amount to be paid at end of 2 years = Principal + Interest.
= ₹ 10,000 + ₹ 3,000 = ₹ 13,000