ECONOMICS
COMPOUND INTEREST
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Sharyce put some money in a savings account that paid 2.7% simple interest. After a year, the account was worth $7, 890.44. What was the amount Sharyce originally deposited?
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$7, 200
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$7, 683
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$7, 500
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$7, 700
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Explanation:
Detailed explanation-1: -Detailed Solution Simple interest for 2 years at 6% per annum is 180. Here, N is the number of terms in the year. ∴ when interest is compounded annually then the amount is 1685.40 rupee.
Detailed explanation-2: -I=10020000×2×5=Rs. 2, 000. Was this answer helpful?
Detailed explanation-3: -Simply divide your APY by 12 (for each month of the year) to find the percent interest your account earns per month. For example: A 12% APY would give you a 1% monthly interest rate (12 divided by 12 is 1). A 1% APY would give you a 0.083% monthly interest rate (1 divided by 12 is 0.083).
Detailed explanation-4: -So, The Amount will be Rs. 2163.
There is 1 question to complete.