Question
A man deposited 30% of his salary to a bank which offers
compound interest at the rate of 10% p.a. If the interest earned by him from the bank after 2 years is Rs. 3150, find the monthly expenditure of the man which is 53% of his monthly salary.ÂSolution
Let the amount of money deposited in the bank be Rs. ‘x’. So, x × [(1.1)2 – 1] = 3150 0.21x = 3150, x = 15000 So, monthly income of man = 15000/0.3 = Rs. 50000 Required monthly expenditure of man = 53% of 50000 = Rs. 26500
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