Question

2. What would have to be a) the simple interest b) the compound interest in order to our deposit of 10,000 € will have increased in five years by one half?

Answer 1

PAGE NO.: DATE: 1 # SOLUTION, : simple intrest + = 50,00 principal amount (P) = 10,000 intrest (19.000) time (in yeoy) (2) 5 ibtrest rate 8 = ? we Know that, simple in trest Рx 1 * * 100 pething ell values 50.00 10,000 x 5 x 8 100 5000 = 500 x 8 8= 50 = 10% per year. 54 annued 100% Ans. - simple intrest rate

PAGE NO.: DATE: 1 # Com pounded intrest : Given, principal amount (P) = 10,000 amount offer 5 year (A) 10,000 + < (10,000) A 15000 time (in year] (n) =5 year. annual intrest rate (x) = 7% ? We know that compounded amount (A) is given by А P (148) putting all values. 5 15000 10,000 100 15 10 (1+r 100 1tr Nlul 100 15 1+7 100 3 2 8 100 3 Z y's -1

PAGE NO.: DATE: 1 x 2.0845 100 ४ = 8.45 of Annual Anso