1.

Find compound interest on Rs.12600 for 2 years at 10% per annum compounded annually.   

Answer»

P = Rs.12,600; R = 10%; n = 2 years

A = P\([1\,+\,\frac R{100}]^n\)  =  12600 \([1\,+\,\frac {10}{100}]^2\) = 12600\([1\,+\,\frac 1{10}]^2\)

= 12600 x \(\frac{11}{10}\) x \(\frac{11}{10}\) = 126 x 121

A = Rs.15246

∴ Compound Interest = Amount – Principal 

= 15,246 – 12,600 

∴ C.I. = Rs.2646 /-



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