Question
Ankit invested Rs. 12,000 in a scheme that offers
compound interest at an annual rate of x%, compounded once a year. After 2 years, he received an interest of Rs. 5,280 from the scheme. Find the value of 'x'.Solution
According to the question, 5280 = 12000 × [(100 + x)/100]2 – 12000 Or, 17280 = 1.2 × (100 + x)2 Or, (100 + x)2 = 17280/1.2 = 14400 Or, 100 + x = 120 Or, x = 20
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