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11.12500 are invested for 2 years at 6% perannum compound interest. Find the following:a. The interest for 1 yearb. The amount after 2 yearsc. The compound interest earned |
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Answer» compound interest is 5oo A = p(1+r)ⁿ.... where r = 6/100 , n = 2 and p = 12500 => A = 12500*(1+0.06)²=> A = 14045 for two years compound interest earned = 14045-12500 = 1545interest for one year => C.I = 12500*(1.06)¹ -12500 = 13250-12500 = 750 |
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