1.

In how much time would the compounded amount become Rs.9,261 from a principle of Rs.8,000 if the interest is compounded annually at a rate of 5% interest.

Answer»

<P>A = Rs. 9261

P = Rs. 8000

R% = 5%


A = P * (1 + (R/100))^T

9261 = 8000 (1 + (5/100))^T

9261/8000 = (105/100)^T

9261/8000 = (21/20)^T

(21^3)/(20^3) = (21/20)^T

(21/20)^3 = (21/20)^T


Thus, T = 3 Years



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