Question

At what rate percent will Rs 8000 amounts to Rs 12167 in 3 years if interest is compounded annually​

Answer 1

Given:

Principal = Rs. 8000

Amount = Rs. 12167

Time = 3 years

Formula used:

A = P(1 + R/100)T

Where,

A = Amount, P = Sum or Principal

R = Rate of interest

T = Time

Calculation:

A = P(1 + R/100)T

⇒ 12167 = 8000 × (1 + R/100)3

⇒ (12167/8000) = (1 + R/100)3

⇒ (23/20)3 = (1 + R/100)3

⇒ 23/20 = 1 + (R/100)

⇒ 3/20 = R/100

⇒ R = 15%

∴ The rate of interest is 15%.