Question

If rs 2000 amounts to 2880 in 2 years at compound interest what is the rate of interest per annuam

Answer 1

What is formula of finding r in this tell plz

Answer 2

Here, P= Rs.2000, n=2 years, Amount=Rs.2880

Now, According to formula,

Amount= p(1+R/100)^n

=> 2880=2000(1+R/100)^2

=> 2880/2000=(1+R/100)^2

=> 36/25=(1+R/100)^2

=> (6/5)^2=(1+R/100)^2

=> 6/5=1+R/100

=> 6/5*100=100+R

=> R=120-100

=> R=20%