Question

An owner increases the rent of his house by 5% at the end of each year. If currently its rent is ₹2500 per month, how much will be the rent after 2 years?​

Answer 1

Answer:

Step-by-step explanation:

Current rent =2500,  percent increase per year =5%

After 1 year

Rent =2500+5% of 2500=2500+(  100 5  )×2500  Rent =2625

After 2 years

Rent =2625+5% of 2625 =26250+(  100 5  )×2625

 Rent =2756.25

∴ Rent will be 2756.25 after 2 years.