Question

ramesh deposited rs 15600 in a fixed deposit at a rate of 10% per annum s.i.after every second year ,he adds his interest earnings to the principal.the interest at the end of fourth year is

Answer 1

Answer:

The Interest at the end of 4th year is Rs. 6864

Step-by-step explanation:

Given: Money Deposited in FD , P =Rs. 15600

           Rate , R = 10% p.a

           S.I after every 2nd year added to principal.

To find: Interest after 4th year

Since, In four year only 1 time interest is added to principle.

So, we first find the interest in first 2 year using simple interest formula.

$SI\,=\,\frac{P\times R\times T}{100}$

$SI\,=\,\frac{15600\times10\times2}{100}$

$SI\,=\,156\times10\times2$

$SI\,=\,Rs.\,3120$

Thus, Principal for 3rd year becomes = 15600 + 3120 = Rs. 18720

Now again using Simple interest formula to find interest for next 2 year, we get

$SI\,=\,\frac{18720\times10\times2}{100}$

$SI\,=\,1872\times2$

$SI\,=\,Rs.\,3744$

⇒ Total Interest at the end of 4 year = 3120 + 3744 = Rs. 6864

Therefore, The Interest at the end of 4th year is Rs. 6864

Answer 2

Answer:

From the given question

Principal = Rs. 15600,

Rate(in per)=10%

SI earned after two years

S.I.= P∗R∗T/100

= 15600∗10∗2/100 =  Rs. 3120

Therefore, Principal for next two years

= ₹(15600 + 3120) =  Rs. 18720

SI earned at the end of fourth year = 18720∗10∗2/100 =  Rs.3744

Now the interest at the end of fourth year is Rs.3744