At what rate percent per annum, will a sum of Rs 16,000 become Rs 18,522 in three years, when the interest is compounded annually '?
Answers
Answered by
8
Solution :
Given principal ( P ) = Rs 16000,
Amount ( A ) = Rs 18522
Time ( T ) = 3 years
Let the rate of interest = r%
Let the number of times Interest paid (n)=3
P( 1 + r/100 )ⁿ = A
=> ( 1 + r/100 )ⁿ= A/P
=> ( 1 + r/100 )ⁿ = 18522/16000
=> ( 1 + r/100 )ⁿ = 9261/8000
= ( 21/20 )³
=> 1 + r/100 = 21/20
=> r/100 = 21/20 - 1
=> r/100 = ( 21 - 20 )/20
=> r = 100/20
=> r = 5
Therefore ,
Rate of interest ( r ) = 5
•••••
Given principal ( P ) = Rs 16000,
Amount ( A ) = Rs 18522
Time ( T ) = 3 years
Let the rate of interest = r%
Let the number of times Interest paid (n)=3
P( 1 + r/100 )ⁿ = A
=> ( 1 + r/100 )ⁿ= A/P
=> ( 1 + r/100 )ⁿ = 18522/16000
=> ( 1 + r/100 )ⁿ = 9261/8000
= ( 21/20 )³
=> 1 + r/100 = 21/20
=> r/100 = 21/20 - 1
=> r/100 = ( 21 - 20 )/20
=> r = 100/20
=> r = 5
Therefore ,
Rate of interest ( r ) = 5
•••••
Answered by
5
Answer:
5%
Step-by-step explanation:
Principal = Rs 16000
Sum after 3 years = Rs 18522
Period = 3
Find the rate:
Sum = P(1 + r/100)ⁿ
18522 = 16000(1 + r/100)³
(1 + r/100)³ = 9261/800
1 + r/100 = 1.05
r/100 = 0.05
r = 0.05 x 100
r = 5%
Answer: The rate is 5%
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