find the compound interest when the sum of rs 10000 is invested for 1

1.	find the compound interest when the sum of rs 10000 is invested for 1 year and 3 months at the rate of 8½% compounded annually
Answer» ANSWER: For first year P=10000,R=8.5%, T=1 INTEREST = 100 PRT = 100 (10000×8.5×1) =850 Amount = Interest + Principle =10000+850=Rs.10850 For second year principle will be amount of previous year (SINCE interest is COMPOUNDED) P=10850,R=8.5%, T=3months =

find the compound interest when the sum of rs 10000 is invested for 1 year and 3 months at the rate of 8½% compounded annually

Answer»

For first year

P=10000,R=8.5%, T=1

100

PRT

100

(10000×8.5×1)

=850

Amount = Interest + Principle =10000+850=Rs.10850

For second year principle will be amount of previous year (SINCE interest is COMPOUNDED)

P=10850,R=8.5%, T=3months =