22. Let us write by calculating at what rate of compound interest per

1.	22. Let us write by calculating at what rate of compound interest per annum, the amount onR10,000 for 2 years is ? 12100
Answer» For compound interestA = P(1 + R/100)^n Given, A = 12100, P = 10000, n = 2, R =? Then,12100 = 10000(1 + R/100)^21.21 = (1 + R/100)^2(1 + R/100) = 1.1R/100 = 1.1 - 1 = .1R = .1*100 = 10 RATE OF INTEREST = 10% 10

22. Let us write by calculating at what rate of compound interest per annum, the amount onR10,000 for 2 years is ? 12100

Answer»

For compound interestA = P(1 + R/100)^n

Given, A = 12100, P = 10000, n = 2, R =?

Then,12100 = 10000(1 + R/100)^21.21 = (1 + R/100)^2(1 + R/100) = 1.1R/100 = 1.1 - 1 = .1R = .1*100 = 10

RATE OF INTEREST = 10%