Sameerrao has taken a loan of ₹12500 at a rate of 12 p.c.p.a. for 3 years. If the interest is compounded annually then how many rupees should he pay to clear his loan?

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Solution

Here, P = ₹ 12500; R = 12 % ; N = 3 years

$A = P {(1 + \frac{R}{100})}^{N} = 12500 {(1 + \frac{12}{100})}^{3} = 12500 {(1 + \frac{3}{25})}^{3} = 12500 {(\frac{28}{25})}^{3} = 17561.60 Rupees$

Hence, he should pay an amount of ₹ 17561.60 to clear his loan.

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Sameerrao has taken a loan of ₹12500 at a rate of 12 p.c.p.a. for 3 years. If the interest is compounded annually then how many rupees should he pay to clear his loan?

Here, P = ₹ 12500; R = 12 % ; N = 3 years A=P1+R100N =125001+121003 =125001+3253 =1250028253 =17561.60 Rupees Hence, he should pay an amount of ₹ 17561.60 to clear his loan.

Here, P = ₹ 12500; R = 12 % ; N = 3 years

$A = P {(1 + \frac{R}{100})}^{N} = 12500 {(1 + \frac{12}{100})}^{3} = 12500 {(1 + \frac{3}{25})}^{3} = 12500 {(\frac{28}{25})}^{3} = 17561.60 Rupees$

Hence, he should pay an amount of ₹ 17561.60 to clear his loan.