At what rate percent per annum compound interest will ₹ 2304 amount to ₹ 2500 in 2 years?
Solution:
It is given that
Amount = ₹ 2500
Principal = ₹ 2304
Period (n) = 2 years
Consider r% p.a. as the rate of interest
We know that
A = P (1 + r/100)n
It can be written as
(1 + r/100)n = A/P
Substituting the values
(1 + r/100)2 = 2500/2304
By further calculation
(1 + r/100)2 = 625/576 = (25/24)2
So we get
1 + r/100 = 25/24
r/100 = 25/24 – 1
Taking LCM
r = 100/24 = 25/6 = 4 1/6
Hence, the rate of interest is 4 1/6% p.a.
More Solutions:
- At what rate percent will ₹ 2000 amount.
- Find the rate of interest per annum.
- Determine the rate of interest for a sum.
- Find the amount after 3 years at the above rate of compound interest.
- A certain sum amounts to ₹ 5292 in 2 years.
- A certain sum amounts to ₹ 798.60 after 3 years.
- In what time will ₹ 15625 amount to ₹ 17576.
- In what time will ₹ 1500 yield ₹ 496.50 as compound interest
- Find the time period of investment.