Question

if in 2years a principal of Rs 100 amount to Rs 144 then the rate of interest is__p.c.p.a if compound annually
a)10
b)20
c)14
d)15​

Answer 1

a= 144 p= 100 n= 2 r=?

a = p (r+1/100)^n

144 = 100(r/100)^2

144÷100 = r/100 × r/ 100

1.44 = r^2 / 100

1.44 × 100 = r^2

144= r^2

r = 12

hope it helps...

Answer 2

20

A=P(1+R/100)^T

144=100(1+R/100)^2

1.2=1+R/100

R=20