Question

Find the amount to be paid at the end of 3 years if Principal = Rs 7,500 at $5\%$ p.a.

Answer 1

The rate of interest is $5\%$ p.a.


The principal amount, P = Rs. 7500

Rate of Interest, R = $5\%$ p.a.

Time, T = 3 years

$S.I.=\frac{P\times R\times T}{100}$

$S.I.=\frac{7500\times 5\times 3}{100}$

$S.I.=Rs1125$

Amount = Principal + Interest

$\Rightarrow$ Amount = 7500 + 1125

Amount = Rs 8625

Hence, the total amount to be paid at the end of three years is Rs 8625