Question

What will be compound interest for an amount of 1,000 @ 5% p.a. for a period of two years?​

Answer 1

Answer:

Here

Given : Amount = 1000

Rate = 5%

Time = 2years

Formula to find CI = Amount - principle

Answer 2

Answer:

rs. 1102.50

The required amount =Rs.1000(1+5/100)^2

Step-by-step explanation:

=Rs.1000(1+1/20)^2

=Rs.1000×21/20×21/20=Rs.1102.50