Question

Find the rate percent annum , if compounded yearly, principle 196 , amount 225 , time 2 yrs​

Answer 1

$\bf \: Rate = 7.14\%$

Step-by-step explanation:

GIVEN

Amount = 225

Principal = 196

Time = 2 years

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TO FIND

Rate

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We know that,

$Amount = Principal \times (1 + \frac{r}{100})^{n}$

$225 = 196 \times (1 + \frac{r}{100})^{2}$

$\frac{225}{196} = (1 + \frac{r}{100})^{2}$

$(\frac{15}{14})^{2} = (1 + \frac{r}{100})^{2}$

$\frac{15}{14} = (1 + \frac{r}{100})$

$15 \times 100 = 14 \times ( 100 + r )$

$1500 = 1400 + 14 \times r$

$100 = 14 \times r$

$r = \frac{100}{14}$

$r = 7.14$

$\bf \: Rate = 7.14\%$