Calculate the amount and compound interest on


              (a)  Rs 10,800 for 3 years at  12\frac{1}{2} %  per annum compounded annually.

Answers (1)
H Harsh Kankaria

Given,

Principal,P = Rs 10800  

Compound Interese Rate,R =   12\frac{1}{2} \% = \frac{25}{2}\% p.a.

Time period,n = 3 years. 

We know,

Amount when interest is compounded annually, A = P(1+\frac{R}{100})^n

Therefore, the required amount = 10800(1+\frac{25}{2\times100})^{3}  = Rs. 15377.34

And Compound Interest, CI = Amount - Principal = Rs. (15377.34 - 10800) = Rs. 4577.34

Exams
Articles
Questions