Question

I took a loan of rupees 30000 from a finance company if the rate of interest is 7% per annum compounded annually calculate the amount I have to pay after 2 years the answer is rupees 2315.25 please I want step by step explanation​

Answer 1

Dear Student,

● Answer -

Payable amount = 34347 Rs

● Explanation -

# Given -

P = 30000 Rs

r = 7 %

t = 2 years

# Solution -

Payable amount by compound interest is calculated by formula -

Payable amount = P (1+r)^t

Payable amount = 30000 (1+7/100)^2

Payable amount = 30000 (1.07)^2

Payable amount = 30000 × 1.1449

Payable amount = 34347 Rs

Hence, Payable amount after 2 years is 34347 Rs.

Answer 2

So, the answer is equalls to 34347