Question

Mr.Rakesh receives a sum of Rs.2, 00,000 as provident fund on his retirement. He deposits it in a bank which pays 12 percent interest. If he withdraws annually Rs.29,364, how long can he do so?​

Answer 1

Answer:

Explanation:

Roshan invests rs 240000 for 2 years at 10% per annum compounded annually. If their income tax is 20% is deducted at the end of each year on the interest accrued, find the amount he will receive at the end of two years?

For the first year :

P = Rs. 240000, n = 1 and r = 10% p.a.

A = P(1 + r/100)  

A = 240000 (1 + 10/100)

A = Rs. 264000

Interest = 264000 - 240000 = Rs. 24000

Tax = 20/100 of 24000 = Rs. 4800

For second year :  

P = 264000 - 4800 = Rs. 259200, n = 1 year, r = 10% p.a.

A = 259200(1 + 10/100)  

A = Rs. 25920

Tax = 20% of 25920 = Rs. 5184

He received 285120 - 5184 = Rs. 279936 after two years.