What is the compound interest on Rupees 1000 at 10% per annum for 2 years?
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Simple interest (SI) = Rs 200 Rate (r) = 10 % Time = 2 years So, by using the formula, Simple interest = P×T×R/100 P = (SI × 100)/ T×R = (200 × 100) / 2 × 10 = 20000/20 = Rs 1000 Now, Rate of compound interest = 10% Time = 2years By using the formula, A = P (1 + R/100)^n = 1000 (1 + 10/100)^2 = 1000 (110/100)^2 = Rs 1210 ∴ Compound Interest = A – P = Rs 1210 – Rs 1000 = Rs 210 Correct Answer - Option 2 : Rs. 210 Given: Principal = Rs. 1000 Time = 2 years Rate of interest = 10% Formula: C.I = P × [(1 + r/100)n – 1] Here, P = Principal Amount r = Rate of interest n = Time in years Calculation: We know that - C.I = P × [(1 + r/100)n – 1] According to the question, C.I = 1000 × [(1 + 10/100)2 – 1] ⇒ C.I = 1000 × [(1 + 1/10)2 – 1] ⇒ C.I = 1000 × [(11/10)2 – 1] ⇒ C.I = 1000 × [121/100 – 1] ⇒ C.I = 1000 × [(121 – 100)/100] ⇒ C.I = 1000 × [21/100] ⇒ P = 210 ∴ The Interest Amount will be Rs. 210. What is the compound interest on rupees 1000 at 10% for 2 years?Detailed Solution
∴ The Interest Amount will be Rs. 210.
What will be the compound interest on Rs 10000 for 2 years at 10% per annum?1000= Rs. 2100.
What is the compound interest on Rs 12000 for 2 years at 10% per annum compounded annually?Hence, the compound interest is Rs. 2,520.
What is the compound interest for 2000 rupees for 2 years with rate of interest 10%?420. ∴ The compound interest on ₹2000 at 10% p.a. for 2 years, compounded annually, is Rs. 420.
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