Question

In what time in years will Rs. 1,500 yield Rs. 496.50 as compound interest at 10% per year compounded annually?

Answer 1

Amount after one year=$1500\times \frac{110}{100}=1650$
Amount after two year=$1650\times \frac{110}{100}=1815$
Amount after three year=$1815\times \frac{110}{100}=1996.50$
Interest after three year =$1996.50-1500=496.50$
so Rs 496.50 yield after three years