Question

find the compound interest on 2700 at 6 two /3 per annum for 2 years

Answer 1

3640-2200=1440

Assume 2200-x is the interest in year 1.

So, x in the second year.

2200-x/x=x/1440 {Since [i(1)/i(2)]=[i(2)/i(3)] }

x^2+1440x-2200*1440=0

(x-1200)(x+2640)=0

So, x=1200

Now interest for 1st year i(1)= 1200