Question

Find the compound interest on Rs.12600 for 2 years at 10% per annum compounded annually

Rs 2646
Rs 2700
Rs 3420
Rs 4525​

Answer 1

Given:-

• Principal = 12600 rupees
• Time = 2 years
• Rate = 10%

To Find:-

• Compound Interest = ?

Solution:-

We know that,

$\sf \: p = a {(r + \frac{1}{100} )}^{t} \\ \\ \sf \: p = 12600 {(10 + \frac{1}{100} )}^{2} \\ \\ \sf \: p = 12600 \times \frac{110}{100} \times \frac{10}{100} \\ \\ \sf \: p = 15246 \: rupees$

Now,

$\sf \: compound \: interest = principal - amount\\ \\ \sf \: = 15246 - 12600 \\ \\ \sf \: = 2646 \: rupees$