a man invests Rs 46875 at 4 per annum compound interest for 3 years Calculate i the interest for the...

Question

a man invests Rs 46875 at 4 per annum compound interest for 3 years Calculate i the interest for the first year ii the amount standing to his credit at the end of the second year iii the interest for the third year

Accepted Answer

i Principal for the first year Rs 46875 Rate of interest 4 per annum Therefore Interest for the first year Rs 46875 4 1 100 We get Rs 46875 25 Rs 1875 Hence interest for the first year is Rs 1875 ii Amount at the end of first year Rs 46875 Rs 1875 We get Rs 48750 Principal for the second year Rs 48750 Interest for the second year Rs 48750 4 1 100 Rs 48750 25 We get Rs 1950 Amount at the end of second year Rs 48750 Rs 1950 We get Rs 50700 Hence the amount at the end of second year is Rs 50700 iii Principal for the third year Rs 50700 Interest for the third year Rs 50700 4 1 100 We get Rs 507 4 Rs 2028 Hence the interest in the third year is Rs 2028

ML Aggarwal Solutions Class 8 Mathematics Solutions for Simple and Compound Interest Exercise 8.2 in Chapter 8 - Simple and Compound Interest