CLAT Exam > CLAT Questions > 5.What sum of money at compound interest will...
Start Learning for Free
5.What sum of money at compound interest will amount to Rs. 2249.52 in 3 years, if the rate of
interest is 3% for the first year, 4% for the second year and 5% for the third year ?
interest is 3% for the first year, 4% for the second year and 5% for the third year ?
Most Upvoted Answer
5.What sum of money at compound interest will amount to Rs. 2249.52 in...
Calculation of Compound Interest
To calculate the compound interest on a sum of money, we need to know the principal amount, interest rate, and the number of years for which the interest is being calculated. The formula for calculating compound interest is:
A = P(1 + r/n)^(n*t)
Where:
A = final amount after the specified time
P = principal amount
r = annual interest rate
n = number of times the interest is compounded per year
t = time period in years
Calculation of Interest for Three Years
Given that the interest rate is 3% for the first year, 4% for the second year, and 5% for the third year, we need to calculate the interest for each year separately.
Let the principal amount be P.
Interest for the first year = P * 3/100
Amount after the first year = P + P * 3/100 = P(1 + 0.03)
Interest for the second year = P(1 + 0.03) * 4/100
Amount after the second year = P(1 + 0.03) + P(1 + 0.03) * 4/100 = P(1 + 0.03)(1 + 0.04)
Interest for the third year = P(1 + 0.03)(1 + 0.04) * 5/100
Amount after the third year = P(1 + 0.03)(1 + 0.04) + P(1 + 0.03)(1 + 0.04) * 5/100 = P(1 + 0.03)(1 + 0.04)(1 + 0.05)
Therefore, the final amount after three years can be calculated as:
A = P(1 + 0.03)(1 + 0.04)(1 + 0.05) = Rs. 2249.52
Calculation of Principal Amount
We can use the above formula to calculate the principal amount.
2249.52 = P(1 + 0.03)(1 + 0.04)(1 + 0.05)
2249.52/P = (1 + 0.03)(1 + 0.04)(1 + 0.05)
2249.52/P = 1.125115
P = 2249.52/1.125115 = Rs. 2000
Therefore, the principal amount is Rs. 2000.
To calculate the compound interest on a sum of money, we need to know the principal amount, interest rate, and the number of years for which the interest is being calculated. The formula for calculating compound interest is:
A = P(1 + r/n)^(n*t)
Where:
A = final amount after the specified time
P = principal amount
r = annual interest rate
n = number of times the interest is compounded per year
t = time period in years
Calculation of Interest for Three Years
Given that the interest rate is 3% for the first year, 4% for the second year, and 5% for the third year, we need to calculate the interest for each year separately.
Let the principal amount be P.
Interest for the first year = P * 3/100
Amount after the first year = P + P * 3/100 = P(1 + 0.03)
Interest for the second year = P(1 + 0.03) * 4/100
Amount after the second year = P(1 + 0.03) + P(1 + 0.03) * 4/100 = P(1 + 0.03)(1 + 0.04)
Interest for the third year = P(1 + 0.03)(1 + 0.04) * 5/100
Amount after the third year = P(1 + 0.03)(1 + 0.04) + P(1 + 0.03)(1 + 0.04) * 5/100 = P(1 + 0.03)(1 + 0.04)(1 + 0.05)
Therefore, the final amount after three years can be calculated as:
A = P(1 + 0.03)(1 + 0.04)(1 + 0.05) = Rs. 2249.52
Calculation of Principal Amount
We can use the above formula to calculate the principal amount.
2249.52 = P(1 + 0.03)(1 + 0.04)(1 + 0.05)
2249.52/P = (1 + 0.03)(1 + 0.04)(1 + 0.05)
2249.52/P = 1.125115
P = 2249.52/1.125115 = Rs. 2000
Therefore, the principal amount is Rs. 2000.
Community Answer
5.What sum of money at compound interest will amount to Rs. 2249.52 in...
Let x be the principal. by sloving we get x*103/100*104/100*105/100=2249.52. x= 2249520000/1124760 x= 2000
|
Explore Courses for CLAT exam
|
|
Similar CLAT Doubts
Top Courses for CLATView all
5.What sum of money at compound interest will amount to Rs. 2249.52 in 3 years, if the rate ofinterest is 3% for the first year, 4% for the second year and 5% for the third year ?
Question Description
5.What sum of money at compound interest will amount to Rs. 2249.52 in 3 years, if the rate ofinterest is 3% for the first year, 4% for the second year and 5% for the third year ? for CLAT 2025 is part of CLAT preparation. The Question and answers have been prepared according to the CLAT exam syllabus. Information about 5.What sum of money at compound interest will amount to Rs. 2249.52 in 3 years, if the rate ofinterest is 3% for the first year, 4% for the second year and 5% for the third year ? covers all topics & solutions for CLAT 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for 5.What sum of money at compound interest will amount to Rs. 2249.52 in 3 years, if the rate ofinterest is 3% for the first year, 4% for the second year and 5% for the third year ?.
5.What sum of money at compound interest will amount to Rs. 2249.52 in 3 years, if the rate ofinterest is 3% for the first year, 4% for the second year and 5% for the third year ? for CLAT 2025 is part of CLAT preparation. The Question and answers have been prepared according to the CLAT exam syllabus. Information about 5.What sum of money at compound interest will amount to Rs. 2249.52 in 3 years, if the rate ofinterest is 3% for the first year, 4% for the second year and 5% for the third year ? covers all topics & solutions for CLAT 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for 5.What sum of money at compound interest will amount to Rs. 2249.52 in 3 years, if the rate ofinterest is 3% for the first year, 4% for the second year and 5% for the third year ?.
Solutions for 5.What sum of money at compound interest will amount to Rs. 2249.52 in 3 years, if the rate ofinterest is 3% for the first year, 4% for the second year and 5% for the third year ? in English & in Hindi are available as part of our courses for CLAT.
Download more important topics, notes, lectures and mock test series for CLAT Exam by signing up for free.
Here you can find the meaning of 5.What sum of money at compound interest will amount to Rs. 2249.52 in 3 years, if the rate ofinterest is 3% for the first year, 4% for the second year and 5% for the third year ? defined & explained in the simplest way possible. Besides giving the explanation of
5.What sum of money at compound interest will amount to Rs. 2249.52 in 3 years, if the rate ofinterest is 3% for the first year, 4% for the second year and 5% for the third year ?, a detailed solution for 5.What sum of money at compound interest will amount to Rs. 2249.52 in 3 years, if the rate ofinterest is 3% for the first year, 4% for the second year and 5% for the third year ? has been provided alongside types of 5.What sum of money at compound interest will amount to Rs. 2249.52 in 3 years, if the rate ofinterest is 3% for the first year, 4% for the second year and 5% for the third year ? theory, EduRev gives you an
ample number of questions to practice 5.What sum of money at compound interest will amount to Rs. 2249.52 in 3 years, if the rate ofinterest is 3% for the first year, 4% for the second year and 5% for the third year ? tests, examples and also practice CLAT tests.
|
|
Explore Courses for CLAT exam
|
|
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
|
© EduRev
|
Education Revolution
|
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup