Question

In what time will ₹1600 amount to ₹ 2025 at 12.5% per annum compounded annually?

Answer 1

Heya...

Amount = P(1+r/100)^t
2025=1600(1+12.5/100)^t
2025=1600(1+125/1000)^t
2025/1600=(1+1/8)^t
2025/1600=(9/8)^t
(45/40)^2 = (9/8)^t
(9/8)^2=(9/8)^t
----t = 2 years..