salma borrowed from Mahila Samiti a sum of rupee 1875 to purchase a sewing machine. If the rate of interest is 4% per annum, what is the compound interest that she has to pay after 2 years.
Answers
Answer:
153
Step-by-step explanation:
principal for the first year=Rs 1875
rate of interest =4%pa
interest for the first year =Rs (1875×4×1)/100=75
amount at the end of first year =Rs 1875+Rs 75=1950
principal for the second year =Rs 1950
interest for the second year =Rs(1950×4×1) /100=78
amount at the end of second year =1950+Rs 78=2028
Hence,
compound interest paid by salma =final amount -(original) principal
=Rs 2028-Rs 1875
=Rs 153
Answer:
rs 153
Step-by-step explanation:
Solution
Transcript
Principal for the first year = Rs 1875
Rate of interest = 4% p.a.
Interest for the first year = Rs (1875 × 4 × 1) / 100
= 75
Amount at the end of first year = Rs 1875 + Rs 75
= Rs 1950
Principal for the second year = Rs 1950
Interest for the second year = Rs (1950 × 4 × 1) / 100
= 78
Amount at the end of second year = Rs 1950 + Rs 78
= Rs 2028
Hence,
Compound interest paid by Salma = Final amount – (original) Principal
= Rs 2028 – Rs 1875
= Rs 153