A sum compounded annually becomes 6425 times itself in 2 years. Determine the rate of interest per annum
Let the sum be P
Amount after two years = ₹(6425P)
Let r% be rate per annum
Hence, after two years , we have
(6425P) = P(1+r100)2
(6425) = (1+r100)2
Taking Square root on both sides , we get
(85) = 1+r100
r = 60%