Question

In what time would 256 amount to 289 at 6 1/4 percent PA compounded annually

Answer 1

Answer:

2 years

Step-by-step explanation:

Principal, P=₹256

Amount, A=₹289

Rate of interest, R=6 1/4 % p.a.=25/4 % p.a.

Let N be the time.

By the formula,

A=P(1+R/100)^N

=>289=256(1+(25/4)×(1/100))^N

=>289/256=(1+1/16)^N

=>(17/16)^2=(17/16)^N

=>N=2 years.

Time = 2 years.