Textbooks Guides search-icon-header Search for questions & chapters search-icon-image Class 11 >>Applied Mathematics >>Basics of financial mathematics >>Accumulation with simple and compound interest >>The compound interest on ₹ 10000 at 10 % Question Bookmark The compound interest on ₹ 10000 at 10% per annum for 3 years, compounded annually, is Medium Solution verified Verified by Toppr Correct option is B) Given:
Present value =₹ 10000 Interest rate =10% per annum Time =3 years
To find the amount we have the formula, Amount (A)=P(1+(r/100)) n
where P is present value, r is rate of interest, n is time in years
Now substituting the values in above formula we get,
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Answer:
Step-by-step explanation:
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>>The compound interest on ₹ 10000 at 10 %
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The compound interest on ₹ 10000 at 10% per annum for 3 years, compounded annually, is
Medium
Solution
verified
Verified by Toppr
Correct option is B)
Given:
Present value =₹ 10000
Interest rate =10% per annum
Time =3 years
To find the amount we have the formula,
Amount (A)=P(1+(r/100))
n
where P is present value, r is rate of interest, n is time in years
Now substituting the values in above formula we get,
∴A=10000(1+10/100)
3
⇒A=10000(11/10)
3
⇒A=121(10)(11)
⇒A=1331(10)
⇒A=₹ 13310
∴ Compound interest =A–P
=13310–10000=₹ 3310