Question

Mrs. Sharma deposited $Rs.60,000$ in a bank for $2years.$ If the interest in $8$% p.a compounded annually, what amount will she receive at the end of $2years?$

Answer 1

Let Principal amount $=P=60,000$

Time period $=t=2$

Rate of interest $=r=\frac{8}{100}=0.08$

Total amount $=P(1+r{)}^t$

$=60000(1+0.08{)}^2$

$=Rs.69,984$