Question

Satish invested 10,000 at 10% p.a. compound interest compounded annually. After how many years will he receive an amount of 13,3107 ?​

Answer 1

Answer:

Step-by-step explanation:

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Class 11
>>Applied Mathematics
>>Basics of financial mathematics
>>Accumulation with simple and compound interest
>>The compound interest on ₹ 10000 at 10 %
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The compound interest on ₹ 10000 at 10% per annum for 3 years, compounded annually, is
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Solution
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Correct option is B)
Given:

Present value =₹ 10000
Interest rate =10% per annum
Time =3 years

To find the amount we have the formula,
Amount (A)=P(1+(r/100))
n

where P is present value, r is rate of interest, n is time in years

Now substituting the values in above formula we get,

∴A=10000(1+10/100)
3


⇒A=10000(11/10)
3

⇒A=121(10)(11)
⇒A=1331(10)
⇒A=₹ 13310

∴ Compound interest =A–P
=13310–10000=₹ 3310