Question

rupes 10000 for 2 years at 10% per annum compounded annually. Find compound interest

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Answer 1

• Compound interest is Rs.2100.

Step-by-step explanation:

Given:-

• Principal is Rs.10000.
• Rate of interest is 10%.
• Time period is 2 years.

To find:-

• Compound interest.

Solution:-

• We do not have Amount for finding Compound interest. So, First we will find Amount.
• Here, Interest is Compounded annually

So,

$\boxed{\sf \bold{Amount = P \bigg(1 + \dfrac{r}{100} \bigg) ^{n} }}$

Where,

• P is principal.
• r is rate of interest.
• n is time period

So, Put the values in formula:

$\sf \longrightarrow 10000 \times \bigg(1 + \dfrac{10}{100} \bigg)^{2}$

$\sf \longrightarrow 10000 \times \bigg( \dfrac{100 + 10}{100} \bigg)^{2}$

$\sf \longrightarrow 10000 \times \bigg( \dfrac{110}{100} \bigg)^{2}$

$\sf \longrightarrow 1\cancel{0000} \times \dfrac{12100}{1\cancel{0000}}$

$\sf \longrightarrow 1 \times 12100$

$\longrightarrow \pink{\boxed{ \sf \bold{12100}} \bigstar}$

Amount is Rs.12100

Now,

$\boxed{\sf \bold{Compound \: interest = Amount - Principal }}$

$\sf \longrightarrow 12100 - 10000$

$\sf \longrightarrow \purple{ \boxed{\bold{2100}}\bigstar}$

Therefore,

Compound interest is Rs. 2100.

Answer 2

$\huge{\underline{\underline{\tt{\pink{Answer}}}}}\:$

Compounded interest is Rupees 2100

$\bf\orange{Given\::}$

Principal amount is Rupees 10000

The rate of interest is 10 %

Interest is compounded annually

Time period is 2 years

$\bf\blue{To\:Find\::}$

The compound interest with the help of provided details

$\bf\green{Solution\::}$

As the amount required has not been mentioned we need to calculate that by using ,

$\sf\large{\red{\boxed{\implies\:Amount\:=\:P\:{(\:1\:+\:\dfrac{r}{100})}^n}}}$

Here in , we got these followings ,

P stands for principal amount

N stands for time period

Rate of interest is denoted by r

Calculating the amount ,

$\sf\large{\longrightarrow\:10000\:\times\:{(\:1\:+\:\dfrac{10}{100})}^2}$

Cross multiply 1 with 1/100

We get ,

$\sf\large{\longrightarrow\:10000\:\times\:{(\dfrac{100 \:+\:10}{100})}^2}$

Add 100 and 10 over 100

$\sf\large{\longrightarrow\:10000\:\times\:{(\dfrac{110}{100})}^2}$

Square the term 110/100

$\sf\large{\longrightarrow\:10000\:\times\:(\dfrac{12100}{10000})}$

Cancel out 10000 with 10000

We get the remaining number ,

$\displaystyle\huge\orange{\underline{\underline{\mapsto\:12100}}}$

We know that ,

Compund interest = Amount - Principal amount

Therefore ,

= Compound interest = 12100 - 10000

= Compound interest = Rupees 2100