Question

an amount on compound interest become₹2420in2 years and ₹2662in 3 years .find the amount and the rate of interest​

Answer 1

Step-by-step explanation:

R= 10%

In calculation of Compound interest

Principal amount for next period is equal to principal amount of this year + interest generated in this period

If after 2 years amount of money is 2420

This will be principal for next year

For third year

Amount = 2420×(1+ R/100)×1

2662 = 2420 + 2420×R/100

242 = 24.2 × R

R = 10%

Alternatively

P×(1 + R/100)^2 = 2420

P×(1 + R/100)^3 = 2662