Check sibling questions

Example 13 - Find CI paid when a sum of Rs 10,000 is invested for

Example 13 - Chapter 8 Class 8 Comparing Quantities - Part 2
Example 13 - Chapter 8 Class 8 Comparing Quantities - Part 3 Example 13 - Chapter 8 Class 8 Comparing Quantities - Part 4 Example 13 - Chapter 8 Class 8 Comparing Quantities - Part 5 Example 13 - Chapter 8 Class 8 Comparing Quantities - Part 6 Example 13 - Chapter 8 Class 8 Comparing Quantities - Part 7

Learn in your speed, with individual attention - Teachoo Maths 1-on-1 Class


Transcript

Question 6 Find CI paid when a sum of Rs 10,000 is invested for 1 year and 3 months at 8 1/2 % per annum compounded annually Given Principal = P = Rs 10,000 Rate = 8 1/2 % R = 17/2 % Time = 1 year 3 months = 1 3/12 years = 1 1/4 years Since time is in fraction, We use the formula Compound interest for 1 1/4 years = Compound interest for 1 year + Simple interest for next 1/4 years Compound interest for 1 year P = Rs 10,000 R = 17/2 % Time = 1 year โˆด n = 1 Now A = P (1+๐‘…/100)^๐‘› = 10000 (1+(17/2)/100) = 10000 (1+17/(2 ร— 100)) = 10000 ร— (1+17/200) = 10000 ร— ((200 + 17)/200) = 10000 ร— 217/200 = 100 ร— 217/2 = 10850 Since, Amount = Principal + Interest 10850 = 10000 + Interest 10850 โˆ’ 10000 = Interest 850 = Interest Interest = 850 Simple interest for ๐Ÿ/๐Ÿ’ next year Principal will be the amount after 1 year P = 10850 R = 17/2 % T = 1/4 year โˆด SI = (๐‘ƒ ร— ๐‘… ร— ๐‘‡)/100 = (10850 ร— 17/2 ร— 1/4)/100 = (10850 ร—17)/(2 ร— 4 ร— 100) = (1085 ร— 17)/(2 ร— 4 ร—10) = (1085 ร— 17)/80 = 18445/80 = 230.56 Interest for 1/4 years = Rs 230.56 Now, Compound interest for 1 1/4 years = Compound interest for 1 year + Simple interest for 1/4 years = 850 + 230.56 = 1080.56 โˆด Compound interest after 1 1/4 years = Rs 1080.56

Ask a doubt
Davneet Singh's photo - Co-founder, Teachoo

Made by

Davneet Singh

Davneet Singh has done his B.Tech from Indian Institute of Technology, Kanpur. He has been teaching from the past 13 years. He provides courses for Maths, Science, Social Science, Physics, Chemistry, Computer Science at Teachoo.