Question

Find the compound interest on 10752 at 12½% pa. for 3 years, interest being payable yearly ​

Answer 1

Given:

• Principal, P = Rs. 10752

• Time,n = 3 years

• Rate,r = 12½ = 25/2 %

To find out:

Find the compound interest,C.I. ?

Formula used:

$\boxed{ \sf{Amount= P (1 + \dfrac{r}{100}) {}^{n} }}$

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

Solution:

$\sf{A = P (1 + \dfrac{r}{100} ) {}^{n} }$

$\star \sf{Substituting \: the \: values \:.. }$

$= 10752(1 + \frac{ \frac{25}{2} }{100}) {}^{3}$

$= 10752(1 + \dfrac{25}{2 \times 100} ) {}^{3}$

$= 10752(1 + \dfrac{25}{200} ) {}^{3}$

$= 10752(1 + \dfrac{1}{8} ) {}^{3}$

$= 10752( \dfrac{8 + 1}{8} ) {}^{3}$

$= 10752( \dfrac{9}{8} ) {}^{3}$

$= 10752 \times \dfrac{9}{8} \times \dfrac{9}{8} \times \dfrac{9}{8}$

$= 15309$

Now,

$\therefore \sf{Compound \: Interest = A - P}$

$\red \star \sf{Putting \: the \: values ..}$

$= 15309 - 10752$

$= \bold{ 4557}$

Hence,the compound interest is ₹ 4557 .