Question

Find the compound interest on Rs. 6400 for 2years , compounded annually at 5℅ per annum.

Answer 1

Answer: Compound interest = Rs. 6615

Step-by-step explanation:

Given : Principle = Rs. 6000

            Time = 2 years

            Interest Rate = 5 %

To Find : Compound interest final amount

Solution : Formula for Compound interest

              $A = P(1 + r/n)^{nt}$

            therefore, putting respective values we get :

              A = 6000(1 + 0.05/2)^2

              A = 6000(1.05)^2

              A = 6000(1.1025)

              A = 6615

             Total Amount = Rs. 6615