Question

Rushil invested 8000 in a business. He would be paid interest at 5%
per anum compounded annually. Find the amount he will get
(i) After 2 years?
(ii) After 3 years ?


step by step please
​

Answer 1

ANSWER:-

Here P=Rs.8000,R=5%per annum and n=2 years.

∴ Amount after 2 years =P(1+

100

R

)

n

Amount after 2 years =Rs.[8000×(1+

100

5

)

2

]

Amount after 2 years =Rs.(8000×

100

105

×

100

105

)=Rs.8820

Now, the principal for the third year will be the amount at the end of the second year.

Interest=

100

P×R×T

Interest=

100

8820×5×1

= Rs441