Question

Ravi purchased a house from DDA on credit. if they cost of the house is 7,50,000 and DDA charges interest at 6% per annum compounded annually, find the interest paid by ravi if he makes payment to DDA after three years.​

Answer 1

=143262

Principle = Rs. 750000

Rate = 6%

Time = 3 years

We know that ,

Amount = p{1+r/100} to the power n.

n = time

so,

=750000 x 53/50 x 53/50 x 53/50

=893262

So, interest = A - p

=893262-750000

=143262