Question

In case of
C.I
the principal ------- every year​

Answer 1

Answer:

increases

Step-by-step explanation:

if we take example

a boy taken loan of 8000on compound intrest at 8% then first year principle amount is 8000 and second year it is :

pti÷100

8000•1•8÷100=640=intrest

amount of second year=8000+640=8640

therefore intrest increases every year