Question

Calculate the amount and compound interest on ₹8000 for 2 years at 12 ½% per annum compounded annually

Answer 1

Answer:

interest =212.5,amount=8212.5

Step-by-step explanation:

amount=principle (1+R/100)^n

amount=8000[1+25/200]^2

amount=8212.5

interest=amount-principle

interest=8212.5-8000=212.5

Answer 2

Answer:

Step-by-step explanation:

Principal(P)= 8000Rs, Rate(R)= 12 ½% i.e., 25/4%, Time(T)= 2 years

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

=8000(1+25/4 X 100)^2

=8000(9/8)^2

=8000 X 9/8 X 9/8

A=10125Rs

now,   Compound Interest(CI)=[ Amount(A)]-[Principal(P)]

=10125-8000

CI = 2125Rs