Find the amount to be paid at the end of 3 years in each case:(a) Principal = Rs 1,200 at 12% p.a. (b) Principal = Rs 7,500 at 5% p.a.

Explanation

Amount = `P+ I`

(i) interest of 1 year =`12 % `of 1200

`= (1200 xx 12)/ 100 = 144 rs`

3 yrs interest = `144 xx 3 =432 rs`

Amount = `1200 + 432`

`= 1632 rs`

(ii) interest of 1 year = `5 % `of `7500`

`= (7500 xx 5 )/100 = 375 rs`

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