Question

Sunil lent Rs 200 to his friends for 3 years at the rate of 5% per annum compound interest.what amount does he gets after 3 years?​

Answer 1

The amount he gets after 3 years is Rs 232.

Explanation:

• Step 1: Given details are Principal (P) = Rs 200, Time (t) = 3 years, Rate of Compound Interest (r) = 5%

Formula for calculating amount on compound interest, A = P (1 + r/n)^n×t

• Step 2: Substitute values in formula. Here r = 0.05 and n = 12

⇒ A = 200 (1 + 0.05/12)^12×3

⇒ A = 200 (1.0041)^36

⇒ A = 200 (1.16)

⇒ A = 232