Question
Gaurav invested Rs. 9000 in a compound interest scheme
for 2 years at an annual rate of q%. If he received Rs. 1980 as compound interest, find the rate of interest per annum.Solution
ATQ, CI = P(1 + R/100)² – P 1980 = 9000 × [1 + (q/100)]² – 9000 1980 + 9000 = 9000 × [1 + (q/100)]² 10980 = 9000 × (100 + q)² / 100² 10980 × 100² = 9000 × (100 + q)² (100 + q)² = (10980 × 10000) / 9000 (100 + q)² = 12200 (100 + q)² = 12100 (taking nearest perfect square) 110² = (100 + q)² 110 = 100 + q q = 10 So, the interest rate is 10% per annum.
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