## EXERCISE 9 C

Question 1

**What total amount will Ravi get in 3 years if he invest 5000 at 5% per annum , compounded annually ?**

Sol :

Principal(P) = 5000 , Rate(R) = 5% and Time period(n) = 3 years

= 5×1157.625

= 5788.125

= 5788.13 (approx)

Question 2

**A person borrowed 7500 at 16% per annum compound interest . What is the amount of compound interest he has to pay at the end of 2 years to clear the loan ?**

Sol :

Principal(P) = 7500 , Rate(R) = 16% and Time period(n) = 2 years

= 12×841

Amount(A) = 10092

Also , C.I = A – P

C.I = 10092 – 7500

=2592

Question 3

**How much will 25000 amount to in 2 years if the rates for successive years be 4% per annum and 5% per annum respectively?**

Sol :

Amount(A) = ? , Principal(P) = 25000 , Rate(r_{1}) = 4% , Rate(r_{2}) = 5% and Time period(n) = 2 years

Amount(A) = 25×52×21

=27300

Question 4

**Find the compound interest on 1000 at the rate of 20% per annum for 18 months when the interest is compound half- yearly .**

Sol :

Principal(P) = 1000 , Rate(R) = 20% , Time period(n) = 18 months or , and Amount(A) = ?

Here interest is compounded half-yearly that’s why Rate is taken as R/2 and for n we take 2n

A = 1331

Also ,C.I = A – P

C.I = 1331 – 1000

=331

Question 5

**What is the compound interest on 16000 for 9 months at 20% per annum , interest being compounded quarterly ?**

Sol :

Principal(P) = 16000 , Rate(R) = 20% , Time period(n) = 9 months or , and Amount(A) = ?

Here interest is compounded quarterly that’s why Rate is taken as R/4 and for n we take 4n

= 18522

Also ,C.I = A – P

C.I = 18522 – 16000

= 2522

Question 6

**The simple interest on certain sum of money at 6% per annum for 3 years is 432 . What is the compound interest on the same sum for 2 years at 5% per annum , compounded annually ?**

Sol :

**Case 1 :**

Principal (P) = ?

Time period (T) = 3 years

(Rate)R = 6%

S.I. = 432

P = 2400

**Case 2 :**

Principal (P) = 2400 (from above)

(Rate)R = 5%

Time period (n) = 2 years

A = 2646

Also , C.I = A – P

C.I = 2646 – 2400

= 246

Question 7

**Bela took a study loan of 100000 at 12% per annum compounded half-yearly for a year. How much did she pay at the end of the year ?**

Sol :

Principal(P) = 100000 , Rate(R) = 12% , Time period(n) = 1 year and Amount(A) = ?

Here interest is compounded half-yearly that’s why Rate is taken as R/2 and for n we take 2n

= 112360

Question 8

**The population of a village increases by 5% annually . If its percent population is 4000 , what will be its population after 2 years ?**

Sol :

Principal(P) = 4000 , Rate(R) = 5% , Time period(n) = 2 year and Amount(A) = ?

= 4410

Question 9

**Two years ago , the value of a machine was 62500 . If its value depreciates by 4% every year , what is its present value ?**

Sol :

Principal(P) = 62500 , Rate(R) = 4% , Time period(n) = 2 year and Amount(A) = ?

= 57600