Question

Find the CI on 2,500 at 10% per annum compounded annually for 2 years.



​

Answer 1

Step-by-step explanation:

Given, P = Rs. 2,500 , R = 10% per annum , n = 2 yrs

Amount on C.I = P ( 1 + R/100 )^n

=> A = 2500 ( 1 + 10/100 )²

=> A = 2500 ( 1 + 1/10 )²

=> A = 2500 ( 10+1 / 10 )²

=> A = 2500 ( 11 / 10 )²

=> A = 2500 x 11/10 x 11/10

=> A = 2500 x 11 x 11 / 100

=> A = 25 x 121

=> A = Rs. 3,025

Compund Interest = Amount - Principal

.•. Required C.I = 3025 - 2500 = Rs. 525