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cfc198
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The compound interest earned in the 3rd and 4th year is Rs. 450 and Rs 11 May 2019, 08:34
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45% (medium)

Question Stats:

62% (01:39) correct 38% (02:01) wrong based on 61 sessions

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The compound interest earned in the 3rd and 4th year is 450$ and 500$. Find the rate of interest.

1. 9.09%
2. 10%
3. 11.11%
4. 12.5%
5. 15%
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The compound interest earned in the 3rd and 4th year is Rs. 450 and Rs 11 May 2019, 20:13
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cfc198
The compound interest earned in the 3rd and 4th year is 450$ and 500$. Find the rate of interest.

1. 9.09%
2. 10%
3. 11.11%
4. 12.5%
5. 15%

Amount after 3 years is \(P(1+\frac{r}{100})^3=450\)..
After 4 yrs = \(P(1+\frac{r}{100})^4=500\)....... \(P(1+\frac{r}{100})^3*(1+\frac{r}{100})=500\)......
\(450(1+\frac{r}{100})=500.....4.5r=50......r=50/4.5=100/9=11.11\)..

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The compound interest earned in the 3rd and 4th year is Rs. 450 and Rs 11 May 2019, 22:08
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For 4th year, principal 450, interest 50,
Interest rate =
450 is 100
50 is ?
% = 50/450*100 = 11.11%.

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The compound interest earned in the 3rd and 4th year is Rs. 450 and Rs 12 Mar 2022, 05:01
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chetan2u
cfc198
The compound interest earned in the 3rd and 4th year is 450$ and 500$. Find the rate of interest.

1. 9.09%
2. 10%
3. 11.11%
4. 12.5%
5. 15%

Amount after 3 years is \(P(1+\frac{r}{100})^3=450\)..
After 4 yrs = \(P(1+\frac{r}{100})^4=500\)....... \(P(1+\frac{r}{100})^3*(1+\frac{r}{100})=500\)......
\(450(1+\frac{r}{100})=500.....4.5r=50......r=50/4.5=100/9=11.11\)..

C
I think the problem states the interest accrued is 450$, not the amount. Although it is inherently the same here, for precision I would say that we should not multiply P by (1+r)^3. We should just understand that that 450$-s earned us extra 50$ in the 4th year. That gives us 50/450=1/9=11.11%.
Am I right with this reasoning?

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The compound interest earned in the 3rd and 4th year is Rs. 450 and Rs 05 Apr 2022, 02:59
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The question simply states that the SI on 450 is 50.
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