Question

$Rs7000$ is borrowed at $3.5\%$rate of interest p.a. $2years$.Find the amount to be paid at the end of second year.

Answer 1

Given, $P=Rs7000,R=3.5\%,T=2years$.

We know that,

$$\begin{gathered} S.I.=\frac{P\times R\times T}{100} \\ =\frac{7000\times 3.5\times 2}{100} \\ =70\times 7 \\ =490Rs \end{gathered}$$

Now ,

$$\begin{gathered} Amount=P+S.I. \\ =7000+490 \\ =7490Rs \end{gathered}$$

Therefore, $Rs7490$amount is to be paid at the end of second year.