Question

My bank pays me 4% simple interest. If I deposit one hundred rupees at the beginning of each year for five years, what would be my balance at the end of five years ?

Answer 1

 interest for 100/- deposited at the beginning of yr 1:
       100* 4/100 *5 = 20/-
 interest for 100/- deposited at the beginning of yr 2 
     = 16/-
like this the total interest earned at the end of 5 yrs = 20+16+12+8+4 = 60/-
Amount deposited = 5 * 100 = 500/-

total balance = 560/-