Question

Rohit deposited 1250 in his savings bank account. Find the compound interest earned by him after 3 years
at the rate of 5% per annum
​

Answer 1

Answer:

Given that Rohit deposited rupees 1250 in his savings bank account.

P = 1250.

Given that the rate of interest per annum, R = 5%.

Given that Time n = 3 years.

We know that A = P(1 + r/100)^n

                           = 1250(1 + 5/100)^3

                           = 1250(1 + 1/20)^3

                           = 1250(21/20)^3

                           = 1250 * 9261/8000

                           = 11576250/8000

                           = 46305/32

 

                           = 1447.031

We know that CI = A - P

                            = 1447.031 + 1250

                            = 197.031.

Therefore the Compound interest earned by him after 3 years = 197.031.

Hope this helps!