Question

KAMALA BORROWED RUPEES 26400 FROM A BANK TO BUY SCOOTER AT A RATE OF 15%P.A COMPOUNDED YEARLY. WHAT AMOUNT WILL SHE PAY AT THE END OF 2YEARS AND 4MONTHS TO CLEAR THE LOAN

Answer 1

Amount borrowed = Principal= ₹26400= P Rate=15%p.a =r Time =t=2 years 4 months =2 4/12 =2 1/3 =7/3 years . Amount to be paid for principal compounded yearly = P(1+ r/100)^t So Amount she shall pay at the end of 2 years 4 months to clear the loan =26400(1+15/100)^7/3 =26400(1+ 15/100(7/3) [this approximation is binomial theorem which. implies (1+x)^n can be approximated as 1+nx where x is very much less than 1] =26400(1+35/100) =26400(1.35)= ₹35640.

Answer 2

Answer:

Amount borrowed = Principal= ₹26400= P Rate=15%p.a =r Time =t=2 years 4 months =2 4/12 =2 1/3 =7/3 years . Amount to be paid for principal compounded yearly = P(1+ r/100)^t So Amount she shall pay at the end of 2 years 4 months to clear the loan =26400(1+15/100)^7/3 =26400(1+ 15/100(7/3) [this approximation is binomial theorem which. implies (1+x)^n can be approximated as 1+nx where x is very much less than 1] =26400(1+35/100) =26400(1.35)= ₹35640.

Step-by-step explanation: