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Maria invested ₹8000 in a business. She would be paid interest at 5% per annum compounded annually. Find: (1)the amount credited against her name at the end of the second year (2)the interest for the 3rd year?
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Maria invested ₹8000 in a business. She would be paid interest at 5% p...
Ans. (i) Here, Principal (P) = Rs. 8000, Rate of Interest (R) = 5%, Time = 2 years


Amount (A) = 8000*[1+5/100]^2


= Rs. 8,820


(ii) Here, Principal (P) = Rs. 8000, Rate of Interest (R) = 5%, Time = 3 years

Amount (A) = 8820*[1+5/100]


= Rs. 9,261


Interest for 3rd year = A – P


= Rs. 9,261 – Rs. 8,820 = Rs. 441


Community Answer
Maria invested ₹8000 in a business. She would be paid interest at 5% p...

Amount at the end of the second year:

To calculate the amount credited against Maria's name at the end of the second year, we first need to determine the compound interest for the first two years and then add it to the principal amount.

Given:
Principal amount (P) = ₹8000
Rate of interest (R) = 5% per annum
Time (T) = 2 years

Calculation:
1. Calculate the compound interest for the first two years:
CI = P(1 + R/100)^T - P
CI = 8000(1 + 5/100)^2 - 8000
CI = 8000(1.05)^2 - 8000
CI = 8000(1.1025) - 8000
CI = 8820 - 8000
CI = ₹820

2. Calculate the amount at the end of the second year:
Amount = Principal + Compound Interest
Amount = ₹8000 + ₹820
Amount = ₹8820

Therefore, the amount credited against Maria's name at the end of the second year is ₹8820.

Interest for the 3rd year:

To calculate the interest for the 3rd year, we need to find the compound interest for 3 years and then subtract the total amount at the end of the second year from it.

Calculation:
1. Calculate the compound interest for 3 years:
CI = P(1 + R/100)^T - P
CI = 8000(1 + 5/100)^3 - 8000
CI = 8000(1.05)^3 - 8000
CI = 8000(1.157625) - 8000
CI = 9261 - 8000
CI = ₹1261

2. Calculate the interest for the 3rd year:
Interest for the 3rd year = Total CI for 3 years - Total amount at the end of the second year
Interest for the 3rd year = ₹1261 - ₹8820
Interest for the 3rd year = ₹1261

Therefore, the interest for the 3rd year is ₹1261.
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Maria invested ₹8000 in a business. She would be paid interest at 5% per annum compounded annually. Find: (1)the amount credited against her name at the end of the second year (2)the interest for the 3rd year? for Class 8 2024 is part of Class 8 preparation. The Question and answers have been prepared according to the Class 8 exam syllabus. Information about Maria invested ₹8000 in a business. She would be paid interest at 5% per annum compounded annually. Find: (1)the amount credited against her name at the end of the second year (2)the interest for the 3rd year? covers all topics & solutions for Class 8 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Maria invested ₹8000 in a business. She would be paid interest at 5% per annum compounded annually. Find: (1)the amount credited against her name at the end of the second year (2)the interest for the 3rd year?.
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