43
The C.I. on a certain sum of money for the 4th year at 8% p.a. is Rs. 486. What was the compound interest for the third year on the same sum at the same rate?
- ARs. 450
- BRs. 475
- CRs. 456
- DNone of these
Answer not set
Discussion 1
Log in or create a free account to reply and vote.
0
CCommunity
Let the basic amount for the 4th year be ‘x’
∴ According to the first given condition,
⇒ 486 = x × (1 + 0.08) - x
∴ 0.08x = 486
∴ x = 6075
∴ Amount after 3rd year = 6075
Let the base amount for the 3rd year be ‘y’
∴ 6075 = y × (1 + 0.08)
∴ y = 5625
∴ C.I for the 3rd year = 6075 - 5625 = 450
∴ The Compound Interest for the 3rd year is Rs. 450
∴ According to the first given condition,
⇒ 486 = x × (1 + 0.08) - x
∴ 0.08x = 486
∴ x = 6075
∴ Amount after 3rd year = 6075
Let the base amount for the 3rd year be ‘y’
∴ 6075 = y × (1 + 0.08)
∴ y = 5625
∴ C.I for the 3rd year = 6075 - 5625 = 450
∴ The Compound Interest for the 3rd year is Rs. 450