Question

Find the compound interest on ₹6000 for 2 years at 5%per annum

Answer 1

Step-by-step explanation:

Given:

Present value =₹ 6000

Interest rate =9% per annum

Time =2 years

To find the amount, we have the formula:

Amount (A)=P(1+(r/100))

n

where P is present value, r is the rate of interest, n is the time in years.

Now substituting the values in above formula we get,

∴A=6000(1+9/100)

2

⇒A=6000(109/100)

2

⇒A=6000(1.09)

2

⇒A=7128.6

⇒A=₹ 7128.6

And, Compound interest =A–P

=7128.6–6000=₹ 1128.6