Accountancy, asked by faiz638, 1 year ago

An amount increases by 40% in 5 years at simple interest. by how much % does it increase in 2 years at the same rate on compound interest?

Answers

Answered by steny1
0
1.
Simple Interest Formula:
Simple Interest = Principal * Time * Rate of interest / 100
Abbreviated as
SI = PTR/100

2.Compound Interest Formula:
Amount = Principal * [1 + Rate of Interest/100]Time period
Abbreviated as
Amount = P * [1 + R/100]t,
when compounded annually.

3.When compounded semi-annually or half-yearly,
Amount = P[1 + (R/2)/100]2t
When compounded quarterly,
Amount = P[1 + (R/4)/100]4t
Present worth of Principal P due t years hence is given by:
P/[1+ R/100]t


use these formulas step by step according to you're question and you will get aquirate answer.

hope it will help you.
please mark brainliest
Similar questions