9514 1404 393
Answer:
J Compound interest; $298.65
Step-by-step explanation:
Interest compounding pays interest on the interest. For the same annual rate, any amount of compounding will earn more interest.
For short time periods, the effect of compounding is not great. In general, it will be a fraction of the equivalent simple interest rate. Here, the effective multiplier for annual compounding is ...
1.051^4 = 1.22024337
and the effective multiplier for simple interest is ...
1 +0.051·4 = 1.204
Then the difference in interest rate multiplier for the 4-year period is ...
1.22024337 -1.204 = 0.01614337
That fraction of the $18500 principal is $298.65.
Compound interest earns $298.65 more than simple interest in this scenario.
Answer:
I. Amount = 5618 Rupees
II. Compound interest = 618 Rupees
Step-by-step explanation:
- Given the following data;
- Principal = 5000 Rupees
- Time = 2 years
- Interest rate = 6%
To find the compound interest;
Mathematically, compound interest is calculated using the formula;
A = P(1 + r)^t
Where;
- A is the future value.
- P is the principal or starting amount.
- r is annual interest rate.
- t is the number of years for the compound interest.
Substituting into the formula, we have;
A = 5000(1 + 0.06)^2
A = 5000(1.06)^2
A = 5000 * 1.1236
<em>A = 5618 Rupees</em>
Next, we would determine the compound interest using the formula;
C.I = A - P
C.I = 5618 - 5000
<em>Compound interest (C.I) = 618 Rupees</em>
Answer:
4/25
Step-by-step explanation:
2kg in grams is 2000g
320/2000 simplifies to 4/25
