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0
721
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avatar+11912 

At what rate percent per annum will Rs.1000 amount to Rs.1,102.25 in 2 years , interest being compounded annually?

 Mar 3, 2015

Best Answer 

 #7
avatar+129852 
+10

Yeah, rosala....you're correct.....I applied it at the end to convert the decimal to a percent......it should be 100%, though......not just 100...!!!

 

 Mar 3, 2015
 #1
avatar+118677 
+5

1102.25=1000(1+r)^2

1.10225=(1+r)^2

Sqrt(1.10225)-1=r

 

There you go Rosala.

I logged on with my phone just for y.  Can you finish it ?  ☺

 Mar 3, 2015
 #2
avatar
+10

I got 4.988%

...but you should do the math also.

 Mar 3, 2015
 #3
avatar+11912 
0

No melody I have no idea! Pls can you solve it using this formula

 

A= P(1+r)^n/100

 

Melody n will be the years 

 

1102.25=1000(1+r)^2/100

 

now pls can you solve it

 

I'm really thankful to you for logging in for me!

 Mar 3, 2015
 #4
avatar+118677 
+10

It should not be over 100 rosala.

in my formula r will be a decimal

You will need to change it to a percentage.

The 100 where you have put it is definitely wrong.  😯

 Mar 3, 2015
 #5
avatar+129852 
+10

1102.25=1000(1+r)^2/100

We don't need the 100, rosala

1102.25=1000(1+r)^2        divide both sides by 1000

1.10225 = (1 + r)^2            take the square root of both sides

1.0499  = 1 + r                   subtract 1 from both sides

.0499 = r    =  about 5%

 

 Mar 3, 2015
 #6
avatar+11912 
0

But 100 is necessary it can't be thrown this is the formula my teacher uses

 Mar 3, 2015
 #7
avatar+129852 
+10
Best Answer

Yeah, rosala....you're correct.....I applied it at the end to convert the decimal to a percent......it should be 100%, though......not just 100...!!!

 

CPhill Mar 3, 2015
 #8
avatar+11912 
0

But why not in the beginning? 

 Mar 3, 2015
 #9
avatar+129852 
+5

We could have put it at the beginning.....it doesn't matter....

So the formula  is

A= P(1+r)^n x 100%

 

 Mar 3, 2015
 #10
avatar+11912 
0

Yeah thanks! I just found another way do doing it!

 

 God I'm so scared for this maths exam!

 Mar 3, 2015
 #11
avatar+118677 
0

Good luck Rosala,

But you will do fine :)

 Mar 4, 2015

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