Question

Find the amount to be paid at the end of 3 years in each case:

(a) Principal = Rs 1,200 at 12% p.a.

(b) Principal = Rs 7,500 at 5% p.a.

Answer 1

(a) Principal (P) = Rs 1200

Rate (R) = 12 % p.a.

Time (T) = 3 years

= Rs 432

Amount = P + S.I.

= 1200 + 432

= Rs 1632

(b) P = Rs 7500

R = 5% p.a.

T = 3 years

= Rs 1125

Amount = 7500 + 1125

= Rs 8625