compound interest for the third year is 1000 on a

certain sum at the rate of 10%. what is the

compound interest for the 7th year?

# compound interest for the third year is 1000 on a

### 1 thought on “compound interest for the third year is 1000 on a<br />certain sum at the rate of 10%. what is the<br />compound interest for the”

### Leave a Comment

You must be logged in to post a comment.

Step-by-step explanation:P= Rs. 1000,

R=10%, p.a.

T=3 years

Interest for the 1st year

=

100

P×R×T

=

100

1000×1×10

=Rs.100

Amount after the 1st year = Principal for the 2nd year =1000+100=Rs.1100

Interest after 2nd year =

100

1100×1×10

=Rs.110

Amount after the 2nd year =Principal ( for the 3rd year) =1100+110=Rs.1210

Interest for the 3rd year =

100

1210×1×10

=Rs.121

Amount after the 3rd year =1210+121=Rs.1331

Compound interest for three years =Amount (after 3 years) – (initial)Principal

=Rs.1331−Rs.1000=Rs.331