if a bank is offering 16% per annum rate of interest , then how much times will take to triple a sum?
Answers
Answered by
1
Answer:
7.4 years
Step-by-step explanation:
Considering rates on interest as compound rate of interest
A=P(1+r)^t
A= 3P
P= principal amount
r= 16% per annum
t = time to triple the amount P
3P= P(1.16)^t
3=1.16^t
taking log both sides
log 3= log 1.16^t
log 3= t ×log 1.16
t= log3/log 1.16
t= 0.4771/0.0644
t=7.4 years
It will take 7.4 years to triple the amount in 16% per annum rates of interest
Answered by
0
Answer
7.4 years
Step-by-step explanation:
Considering rates on interest as compound rate of interest
A=P(1+r)^t
A= 3P
P= principal amount
r= 16% per annum
t = time to triple the amount P
3P= P(1.16)^t
3=1.16^t
taking log both sides
log 3= log 1.16^t
log 3= t ×log 1.16
t= log3/log 1.16
t= 0.4771/0.0644
t=7.4 years
It will take 7.4 years to triple the amount in 16% per annum rates of interest
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