Question

For which principle compound interest will be Rs 2700 for 3 years at the rate of 12-1/2% of first year,1 1-1/9% for second years ,10% of third year compounded annually .Find principle and amount​

Answer 1

Answer:

Principal for the first year =$5000.

Interest for the first year = $5000×8×1100 = $400.

Amount at the end of the first year $(5000 + 400) = $5400.

Principal for the second year = $5400.

Interest for the second year = $5400×8×1100 = $432.

Amount at the end of the second year = $(5400 + 432) = $5832.

Principal for the third year = $5832.

Interest for the third year = $5832×8×1100 = $466.56

Amount at the end of the third year = $(5832 + 466.56) = $6298.56

Therefore, compound interest = $(6298.56 - 5000) = $1298.56