Question

if rs12000 taken for 2years at 4%per annum compounded quarterly then time period and rate is​

Answer 1

Given P = Rs 12,000, R = 4% and T = 2 years

using the formula,

A = P (1 + r/100) we get

A = 12,000 (1 + 4/100)² = 12,000 (104/100)²

= 12,000 (1.04)² = 12,979.2

Therefore,

CI = A - P = 12,979.2 - 12,000 = Rs 979.2