1. A sum of Rs 5000 becomes Rs 8000 in 3 years, when invested in a scheme of simple interest. If the same sum is invested in a scheme of compound interest with same yearly interest rate (compounding of interest is yearly), then what will be the amount (in Rs) after 3 years?
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By: anil on 05 May 2019 02.04 am
Principal sum = Rs. 5000 and time period = 3 years => Amount after simple interest = Rs. 8000 Thus, simple interest = Rs. (8000-5000) = Rs. 3000 Let rate of interest = $$r\%$$ => Simple interest = $$frac{P imes R imes T}{100}$$
=> $$frac{5000 imes r imes3}{100}=3000$$ => $$150r=3000$$ => $$r=frac{3000}{150}=20\%$$ $$ herefore$$ Amount under compound interest = $$P(1+frac{R}{100})^T$$ = $$5000(1+frac{20}{100})^3$$ = $$5000(1+frac{1}{5})^3=5000(frac{6}{5})^3$$ = $$5000 imesfrac{216}{125}$$ = $$40 imes216=Rs.$$ $$8640$$ => Ans - (A)
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=> $$frac{5000 imes r imes3}{100}=3000$$ => $$150r=3000$$ => $$r=frac{3000}{150}=20\%$$ $$ herefore$$ Amount under compound interest = $$P(1+frac{R}{100})^T$$ = $$5000(1+frac{20}{100})^3$$ = $$5000(1+frac{1}{5})^3=5000(frac{6}{5})^3$$ = $$5000 imesfrac{216}{125}$$ = $$40 imes216=Rs.$$ $$8640$$ => Ans - (A)