Question

find the compound interest on rs 31250 for 2years 6 months at 6% per annum compounded annually​

Answer 1

Given:-

• Time (n) = 2 years 6 months = 5/2 years = 2 ½ years

• Principal (p) = Rs. 31250

• Rate (R) = 6%

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To find:-

• Compound interest.

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Solution:-

Here,

• Time (n) = 2 years 6 months = 5/2 years = 2 ½ years

• Principal (p) = Rs. 31250

• Rate (R) = 6%

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Firstly,

• we have to find out the amount.

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→ Amount = [31250 × (1 + 6/100)² × (1 + ½ × 6/100)]

→ Amount = [31250 × (106/100)² × (103/100)]

→ Amount = 31250 × 106/100 × 106/100 × 103/100

→ Amount = 3125 × 106/100 × 106/100 × 103/10

→ Amount = Rs.36165.875

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Hence,

• the amount is Rs.36165.875

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Now,

• finding the compound interest.

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→ Compound Interest = Amount - Principal

→ Compound Interest = 36165.875 - 31250

→ Compound Interest = Rs.330408.75

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Hence,

• the compound interest is Rs.330408.75

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Therefore,

• Compound Interest = Rs.330408.75