Question

The amount of money in the account every year, when ₹ 2000 is deposited at compound interest at 12% per annum

Answer 1

Answer:

$\mathrm{The\:amount\:of\:money\:in\:the\:account\:every\:year\:is\:1.12\:times}$

Step-by-step explanation:

Given Amount :  ₹ 2000

Interest : 12%

Total Amount = P(1 + R)ⁿ

'P' is principle amount

'r' is the rate of interest

'n' is no of year

Compound interest increases depend on principle

Next year interest is interest on before year total

= 2000( 1 + 0.12)ⁿ

At the end of the first year,

= 2000 ˣ 1.12 = 2240/-

Every year the amount increases at 1.12 times