Question
Ravi invested Rs. 25,000 for 2 years at a compound interest
rate of 20% per annum, compounded annually. What will be the total amount he will get after 2 years?Solution
ATQ,
Desired amount = 25000 × {1 + (20/100)}²
= 25000 × (1.2)²
= 25000 × 1.44
= Rs. 36,000
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