Question

Rs 7000 is borrowed at 3.5% rate of interest p.a.borrowed for 2 years . find the amount to be paid at the end of the second year

Answer 1

Principal Amount =P=7000

No.of periods= n = 2 years

Rate of interest Per Annum= i = 3.5%

Compounded amount = P(1+i)^n

= 7000(1+3.5/100)^2

=700(1 + 0.035)^3

= 7000(1.035)^3

= 7000(1.108)

=7761 = amount to be Paid after 2 years

(

Answer 2

Answer:

$p \: = rs \: 7000$

$r = 3.5\%$

$t = 2years$

$s.i = p \times r \times t$

__________________

$\: \: \: \: \: \: 100$

$= 7000 \times 3.5 \times 2$

__________________

$\: \: \: \: \: \: 100 \: \: \: \: \:$

$s.i = 490$

$amount = p + s.i$

$= 7000 + 490 \\ = 7490$

$amount \: to \: be \: paid \: = rs \: 7490$

$hope \: it \: helps \: you$

$have \: a \: great \: day$