Question

Find the compound interest on rupee 7000 for 3 years at 5% per annum compound annually.

Answer 1

Answer: Solution:

Here,

Principal (P)= Rs 7000

Time (T)= 3 years

Rate(R)= 5% per annum

We have,

CI =P{(1+R/100)^2-1}

= 7000{(1+5/100)^2-1}

= 7000×(441/400 -1)

=7000×41/400

=717.5

Therefore, the compound interest is Rs 717.5.

Step-by-step explanation: