Question

(C) Under a scheme of investment, rate of interest is 4% and the interest is
compounded three-monthly. What will be the amount if man invests Rs.
20,000 for 1 year under this scheme?
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Answer 1

Answer:

ɢIVEN

Under a scheme of investment, rate of interest is 4% and the interest is

compounded three-monthly. What will be the amount if man invests Rs.

20,000 for 1 year under this scheme?

ֆolution :

Rate of interest = 4% = 0.04

Starting amount = Rs 2000

 n = 3 months

Amount  = Starting amount * (1 + Rate of Interest)^n 

                                       = 2000 * (1+0.04)^3

                                            = 2249.728

The Amount after 3 months is Rs 2249.728