Fewpal
+3 votes
164 views
in Mathematics by (64.1k points)
edited by
What will Rs 500 amounts to in 10 years after its deposit in a bank which pays annual interest rate of 10% compounded annually?

1 Answer

+5 votes
by (13.5k points)
selected by
 
Best answer

Solution:

The amount deposited in the bank is Rs 500.

At the end of first year, amount = R s. space 500 open parentheses 1 space plus space 1 over 10 close parentheses = Rs 500 (1.1)

At the end of 2nd year, amount = Rs 500 (1.1) (1.1)

At the end of 3rd year, amount = Rs 500 (1.1) (1.1) (1.1) and so on

∴Amount at the end of 10 years = Rs 500 (1.1) (1.1) … (10 times)

= Rs 500(1.1)10

Welcome to Sarthaks eConnect: A unique platform where students can interact with teachers/experts/students to get solutions to their queries. Students (upto class 10+2) preparing for All Government Exams, CBSE Board Exam, ICSE Board Exam, State Board Exam, JEE (Mains+Advance) and NEET can ask questions from any subject and get quick answers by subject teachers/ experts/mentors/students.

Categories

...