Compound Interest
CM-15
5. Calculate the compound interest for the second year on Rs 8,000 invested for 3 years at 10% p.a.
Also, find the sum due at the end of the third year.
ICSE 2000
Answers
Answer:
880
Step-by-step explanation:
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8th
Maths
Comparing Quantities
Compound Interest
Calculate the compound inte...
MATHS
Calculate the compound interest for the second year on Rs. 8,000/− invested for 3 years at 10% per annnum.
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ANSWER
Compound interest for the second year will be the simple interest gained in the second year, with the amount after first year being the principal for the second year.
For the first year
P=Rs8,000
N=1year
R=10 %
We have S.I.=
100
PNR
=
100
8,000×1×10
=Rs800
And Amount at the end of first year P+S.I.=Rs8,000+Rs800=Rs8,800
Now, for the second year
P=Rs8,800
N=1year
R=10 %
We have S.I.=
100
PNR
=
100
8,800×1×10
=Rs880
Thus, Compound interest for the second year =Rs880
Answer:
880
Step-by-step explanation:
Shortcut:
CI for 1st year= SI for 1st year
= 8000× (10/100)=800
CI for 2nd year= Increase in the interest of previous year CI
= 800(1+(10/100))=880