1.

Rs. 3000 amount to Rs. \(5333\frac{1}{3}\) in 10 years at compound interest, what will Rs. 3000 amount to in half that time?1). Rs. 40002). Rs. 39003). Rs. 3166.664). Rs. 3066.66

Answer»

Principal = 3000

Amount $(= \;5333\frac{1}{3}\; = \;\frac{{16000}}{3})$

Time = 10 years

Let the rate be R%

Using the formula for CI

$(compound\;interest = principal{\left[ {1 + \frac{{rate}}{{100}}} \right]^{time}} - Principal)$

$(5333\frac{1}{3} = 3000{\left( {1 + \frac{R}{{100}}} \right)^{10}})$

$(\RIGHTARROW \frac{{16000}}{{3 \times 3000}} = {\left( {1 + \frac{R}{{100}}} \right)^{10}})$

$(\Rightarrow \frac{{16}}{9} = {\left( {1 + \frac{R}{{100}}} \right)^{10}})$

Taking square ROOT of the above equation

$(\frac{4}{3} = {\left( {1 + \frac{R}{{100}}} \right)^5})$…………………………………….(equation 1)

Now for half the time i.e for T = 5 years

Let the amount be A

Again using the formula for CI

$(A = 3000{\left( {1 + \frac{R}{{100}}} \right)^5})$

From equation (1)

$(\Rightarrow A = 3000\left( {\frac{4}{3}} \right))$

⇒ A = 4000


Discussion

No Comment Found

Related InterviewSolutions