) Jhon deposited Rs. 500 every month in a recurring deposit account for 2 years. If the bank pays interest
at the rate of 7% p.a then find the amount he gets on maturity
Answers
Answer:
The Answer is ₹12875.
Step by step explanation:
Installment per month(P) =₹500
Number of years (n)= 2×12
=24 years.
Rate of Interest (R)=7% p.a
Therefore,
n(n+1) r
S.I. = P× 2×12 × 100
24(24+1) 7
= 500× 24 × 100
576 +24 7
= 500 × 24 × 100
600 7
= 500 × 24 × 100
7
= 500 × 25 × 100
= ₹875
The amount that John will get at the time of maturity
= (500×24)+ 875
= 12000 + 875
= 12875