ECONOMICS
COMPOUND INTEREST
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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$539
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$538.95
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$538.94
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$538.93
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Detailed explanation-1: -It is calculated by multiplying the first principal amount by one and adding the annual interest rate raised to the number of compound periods subtract one. The total initial amount of your loan is then subtracted from the resulting value. P is principal, I is the interest rate, n is the number of compounding periods.
Detailed explanation-2: -An investment of $1, 000 made today will be worth $1, 480.24 in five years at interest rate of 8% compounded semi-annually.
Detailed explanation-3: -Compound Interest (C.I) = A-P = ₹ 22, 869-₹ 18, 000 = ₹ 4, 869. Rs. 18, 000 for 212 year at 10% per annum compounded annually. Q.
Detailed explanation-4: -Compound interest will be calculated by C.I = [P × (1+R100)n]-P. C.I = [15000 × (1+5100)5]-15000. C.I = [15000 × (1+120)5]-15000.