Haneef has a cumulative bank account and deposits Rs. 600 per month for a period of 4 years. If he gets Rs. 5880 as interest at the time of maturity, find the rate of interest.
Solution:
Interest = Rs. 58800
Monthly deposit (P) = Rs. 600
David opened a Recurring Deposit Account in a bank and deposited Rs. 300 per month for two years. If he received Rs. 7725 at the time of maturity, find the rate of interest per annum. (2008)
Solution:
Deposit during one month (P) = Rs. 300
Period = 2 years = 24 months.
Maturity value = Rs. 7725
