Question

Calculate the compound interest on 10000 for 1 year at the rate of 6% per annum,

the answer should be 600 remember it.
and explain how ​

Answer 1

Answer:

Given :-

• A sum of Rs 10000 for 1 year at the rate of 6% per annum.

To Find :-

• What is the compound interest.

Formula Used :-

$\clubsuit$ Amount Formula :

$\bigstar \: \: \sf\boxed{\bold{\pink{A =\: P\bigg(1 + \dfrac{r}{100}\bigg)^n}}}\: \: \: \bigstar$

where,

• A = Amount
• P = Principal
• r = Rate of Interest
• n = Time Period

$\clubsuit$ Compound Interest Formula :

$\bigstar \: \: \sf\boxed{\bold{\pink{Compound\: Interest =\: A - P}}}\: \: \: \bigstar$

where,

• A = Amount
• P = Principal

Solution :-

First, we have to find the amount :

Given :

• Principal = Rs 10000
• Rate of Interest = 6% per annum
• Time Period = 1 year

According to the question by using the formula we get,

$\implies \sf A =\: 10000\bigg(1 + \dfrac{6}{100}\bigg)^1$

$\implies \sf A =\: 10000\bigg(\dfrac{106}{100}\bigg)^1$

$\implies \sf A =\: 10000 \times \dfrac{106}{100}$

$\implies \sf A =\: \dfrac{1060000}{100}$

$\implies \sf\bold{\purple{A =\: Rs\: 10600}}$

Now, we have to find the compound interest :

Given :

• Amount = Rs 10600
• Principal = Rs 10000

According to the question by using the formula we get,

$\implies \sf Compound\: Interest =\: Rs\: 10600 - Rs\: 10000$

$\implies \sf\bold{\red{Compound\: Interest =\: Rs\: 600}}$

$\therefore$ The compound interest is Rs 600 .