Question

Find the compond interest earned on rs 30000 for 2 years at 10%p.A. The interst being compound annually

Answer 1

Step-by-step explanation:

Given: Principal (P) Rs.30000

Time (t) = 2 years

Rate (r) = 10% p.a.

Compound Interest

$= p {(1 + \frac{r}{100}) }^{t} - p$

$= 30000 {(1 + \frac{10}{100}) }^{2} - 30000$

$= 30000 {(1 + \frac{1}{10} )}^{2} - 30000$

$= 30000 \times \frac{11}{10} \times \frac{11}{10} - 30000$

$= 30000( \frac{121}{100} - 1)$

$= 30000 \times \frac{21}{100}$

Compound Interest = Rs.6300