Question

Find what sum will amount to Rs 55125 in 2 years at 5% per annum compounded interest find what sum will amount to rs.55125 in two years at 5% per annum compound interest

Answer 1

Principal=Rs55125
Time=2year
Rate=5%
c.I=?
Now,,
cI=P[1+R/100]^T-1
=55125[1+5/100]^2-1
=55125[105/100]^2-1
=55125(1.05)^2-1
=55125(1.1025-1)
=55125*0.1025
=5650.31
Now,,
amount=55125+5650.31
=60775.31