Question

at what rate percent compound interest 900 will amount 992.25 after 2 year?​

Answer 1

Answer:

The rate of interest is 5 per cent per year

Step-by-step explanation:

P = initial amount = 900

R = rate of interest per cent per year = ?

T = time period in years = 2

A = final amount at the end of period T = 992.25

Using compound interest formula:

A = P(1 + R/100)^T

992.25 = 900(1 + R/100)^2

1.1025 = (1 + R/100)^2

(1 + R/100)^2 = (1.05)^2

=> (1 + R/100) = 1.05

=> R/100 = 0.05

=> R = 5

The rate of interest is 5 per cent per year