Question

Find the compound interest on RS 15000 for 11/5 year at 10%per annum

Answer 1

Answer:

RS 3499.29

Step-by-step explanation:

The amount after compounding a sum $P$ at an interest rate if $i$ after $t$ years is given as

$Amount=P*(1+\frac{i}{100})^t$

In our case;

$P=15000\\t=\frac{11}{5}=2.2 years\\ i=10%$

Therefore;

$Amount=15000*(1+\frac{10}{100})^{2.2}\\ Amount=15000*1.1^{2.2}\\Amount=18499.29451$

Now, the compound interest earned over the period is given as the difference between the Amount  and Principal;

$Interest=18499.29451-15000\\interest=3499.294508$