Question

shreya won a cash prize of rs 1250 for standing seventh exam . she invested that amount as a term deposit in a bank for 3years at a rate of compound interest of 8p.c.p.a . what is the amount that she will receive from the bank at the end of the term

Answer 1

Given,
Principle=Rs1250
r=8 p.c.p.a
n=3years
Therefore, Amount=P(1+r/n)^(n)
=1250(1+8/100)³
=1250(108/100)³
=1250*108/100*108/100*108/100
=Rs1531.44
Therefore, the amount she will recieve=Rs1531.44