Question
B invested Rs. 8000 in a compound interest scheme for 2
years at an annual interest rate of x%. If he received Rs. 3520 as interest, find the rate of interest per annum.Solution
ATQ, CI = P(1 + R/100)² – P 3520 = 8000 × [1 + (x/100)]² – 8000 3520 + 8000 = 8000 × [1 + (x/100)]² 11520 = 8000 × (100 + x)² / 100² 11520 × 100² = 8000 × (100 + x)² (100 + x)² = (11520 × 10000) / 8000 (100 + x)² = 14400 120² = (100 + x)² 120 = 100 + x x = 20 So, the interest rate is 20% per annum.
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