Question

Harvinder deposited rupees 40000 in a post office for a period of 3 years the post office credits the interest yearly in his account 7% per annum compounded annually find the balance in his account at the end of 3 years

Answer 1

Thank you for asking this question. Here is your answer:

P = $40,000

time(t) = 3 years, rate of interest (r) = 7% p.a.

Amount = P( 1+r/100)^t

= 40,000 (1 + 7/100)^3

= 40,000 (107/100)^3

= 40,000 x 107/100 x 107/100 x 107/100

= 4 x 107 x 107 x 107/100

= $49001.72

So Harvinder will get $49001.72 after 3 years.

If there is any confusion please leave a comment below.

Answer 2

I hope this is helpful to you