Ramesh deposited Rs 7500 in a bank which pays him 12% interest per annum compounded quarterly. What is the amount which he receives after 9 months?

Explanation

Principal `(p) = Rs 7500`
Rate`(r) =12%=12/4=3%` (for quarterly)
Time `= 9` months `= 9/12`years = 9/12 × 4 = 3 (for quarter in a year)
By using the formula, `A = P (1 + R/100)^n`
`= 7500 (1 + 3/100)^3`
`= 7500 (103/100)^3`
`= Rs 8195.45`
∴ Required amount is Rs `8195.45`