Question

What sum will amount to $Rs.55125$ in two years at $5\%p.a.$ compound interest?

Answer 1

p = 55125 Rs

n = 2 years

a = 5% p.q

$A=p(1+\frac{r}{100}{)}^n$

$=55125(1+\frac{5}{100}{)}^2$

$=55125(1.05{)}^2$

$=55125\times 1.1025$

$A=60775.3125$Rs.