Question

If P=2500, R=15% and T = 2years compounded annually. find amount​

Answer 1

Question:

If P=2500, R=15% and T = 2years compounded annually. find amount​?

Given:

• P=2500

• R=15%  

• T = 2years

To Find:

Amount

Formulas used:

• $Amount(A)=P(1+(\frac{R}{100})) ^n$

• Compound interest = Amount - Principal

Solution:

• Principal = ₹2500

• Rate=10% per annum

• Time=2 years

$Amount(A)=P(1+(\frac{R}{100})) ^n$

Where ,

• P is Principal

• R is Rate of interest

• N is Time in years.

Now substituting the values in above formula we get,

$A=2500(1+\frac{10}{100}) ^2$

$A=2500(\frac{11}{10})^2$

 

$A=2500(\frac{121}{100})$

$A=25(121)$

A= ₹3025

Now,

Compound interest = A–P

= 3025–2500

= ₹ 525

Answer:

Compound Interest = ₹ 525