a sum of rupees 400 amounts to 480 rupees in 4 years what will it amount to if the rate of interest is increased by 2% per annum
Answers
Answer:
Rs.512
Step-by-step explanation:
We are assuming that this is a case of simple interest
P = intial amount = 400
R = rate of interest per cent per year = ?
T = time period in years = 4
A = final amount = 480
SI = Simple Interest
By formula for simple interest
SI = (P*R*T)/100
A = P + SI
Therefore,
480 = 400 + SI
SI = 80
Interest earned = Rs.80
SI = (P*R*T)/100
80 = (400*R*4)/100
80 = 16*R
R = 80/16
R = 5
Rate of interest is 5 per cent per year
If the rate of interest is increased by 2%, the new rate of interest will be 7%
Therefore:
SI = P*R*T/100
SI = 400*7*4/100
SI = 4*7*4
SI = 112
A = P + SI
A = 400 + 112
A = 512
The final amount received at 7% per year will be Rs.512
Answer: Sum of Rs.400 will amount to Rs.512, at the end of 4 years.
Answer:
p-400
R-2%
T-4year
C.I-p(1+r/100)4
=400(1+2/100)4
=400(51/50)4
=400×51/50×51/50×51/50×51/50
=43,297.2864