Question

Find C. I if p=20000, r=5% and n=3years

Answer 1

Answer:

C.I = 3152.5

Step-by-step explanation:

Given principal amount is P =Rs 20000

Time to repay the amount is N = 3 years

Rate of interest is R =5 %  

To find the amount of compound interest after 2 years

C.I. = ?

We know that the formula to calculate the final amount

A=P(1+R/100)∧N

On putting the given values

A=20000×(1+5/100)^3

On simplification

A=20000×1.157625

A=23152.5

Now we will calculate the compound interest

We know that

∴ C.I. = A − P

On putting the values of A and P

We get

=23152.5 − 20000

On subtracting

We get  C.I = 3152.5