Sania deposited $50,000 in a bank for two years with the interest rate of 5.5% p.a.

a) How much interest would she earn?

b) What will be the final value of investment?

SIMPLE AND

chegendungu

Required interest amount is given by

I=P$\times$ i$\times$ t

$=50,000\times \frac{5.5}{100}\times 2$

$=\$5,500$

A=P(1+it)

$=\$50,000(1+\frac{5.5}{100}\times 2)$

$=\$50,000(1+\frac{11}{100})$

$=\frac{50,000\times 11}{100}$

$=55,500$

OR

A=P+I

$=\$(50,000+5,500)$

$=\$55,500$

Surround your text in `*italics*`

or `**bold**`

, to write a math equation use, for example, `$x^2+2x+1=0$`

or `$$\beta^2-1=0$$`

Stats

Views: 6

Asked: 1 year ago