Question

what is the compound intrest on rs 2500 for 2 years at the rate of intrest 4% per annum

Answer 1

Answer:

Ans - compound interest is 204

Step-by-step explanation:

Formula of compound interest - [Principal*{(1+rate of interest)^n}- principal]

so , n refers to time

CI = [2500*{(1+4%)^2}- 2500]

= [2500*{(1+4/100)^2}-2500]

= [2500*{(1+0.04)^2}-2500]

= [2500*{(1.04^2}-2500]

= [2500*{1.0816}-2500]

= (2500* or ×1.0816)-2500

= 2704- 2500

Therefore ,

CI = 204