Find the amount and the compound interest on ₹ 8000 at 5% per annum for 2 years.
Solution:
It is given that
Principal = ₹ 8000
Rate of interest = 5% p.a.
We know that
Interest for the first year = Prt/100
Substituting the values
= (8000 × 5 × 1)/ 100
= ₹ 400
So the amount for the first year or principal for the second year = 8000 + 400 = ₹ 8400
Here
Interest for the second year = (8400 × 5 × 1)/ 100
So we get
= ₹ 420
We know that
Amount after the second year = 8400 + 420
= ₹ 8820
Total compound interest = 8820 + 8000
= ₹ 820
More Solutions:
- Find the amount outstanding at the beginning of the third year.
- Jaya borrowed ₹ 50000 for 2 years.
- Find the amount and the compound interest on ₹ 5000.
- Find the amount and the compound interest on ₹ 8000.
- Calculate the amount when the principal is ₹ 7400.
- Compound interest reckoned semi-annually.
- Find the amount and the compound interest on ₹ 100000.
- Find the difference between CI and SI on sum of ₹ 4800.
- Compound interest being reckoned semi-annually.