Question

Rajat deposited Rs. 350 per month in his bank account for 8 months under the Recurring Deposit Scheme. What will be the maturity value of his deposit, if the rate of interest is 8% p.a. and the interest is calculated at the end of every month?

Answer 1

Given that
Rajat deposited Rs. 350 per month in his bank account for 8 months under the Reccuring Deposit scheme
Rate of Interest = 8% p,a
Interest = $350\times \frac{8\times 9}{2}\times \frac{8}{100}\times \frac{1}{12}=Rs.84$
Maturity value of his Deposit $=350\times 8+84=Rs.2884$