Question

After what time will rupees 5400 yield rupees 1373.76 as compound interest at 12% per annum

Answer 1

Here given Principal = 5400

Compound Interest = 1373.76

ROI = 12% p.a

We have to find time = n years (say)

We know that C.I = P{(1+R/100)n-1}

or 1373.76 = 5400{(1+12/100)n-1}

or 1373.76 /5400 = {(1+3/25)n -1}

or 0.2544 = (28/25)n -1

or 1.2544 = 1.12n

or (1.12)2 = 1.12n

As bases are equal power should be equal

Therefore n= 2 years

After 2 years Rs 5400 will yield Rs 1373.76 as compound interest at 12% p.a (Ans)

Answer 2

Answer:

2 years.

Either apply C.I formula, C.I = P[ (1+r/100)^n - 1 ]

OR

5400 @ 12% = 648----1st yr

5400 @12%= 648, 648@12%=77.36-----2nd yr

Tot=648+648+77.36=1373.76