Asked by Karan
                A sum of ₹400 amounts to ₹480 in 4 years.What will it amount to, if the rate of interest is increased by 2%p.a.?
            
            
        Answers
                    Answered by
            Steve
            
    if compound interest,
400(1+r)^4 = 480
(1+r)^4 = 1.2
r = .0466
Is your new r
(r + .02)=.0666
or is it
9*1.02 = .0475
??
Do a similar calculation if simple interest.
    
400(1+r)^4 = 480
(1+r)^4 = 1.2
r = .0466
Is your new r
(r + .02)=.0666
or is it
9*1.02 = .0475
??
Do a similar calculation if simple interest.
                    Answered by
            Reiny
            
    400(1+i)^2 = 480
(1+i)^2 = 1.2
1+i = 1.095445
i = .095445
new rate = .095445 + .02 = .115445
new amount = 400(1.115445)^2 = 497.69
    
(1+i)^2 = 1.2
1+i = 1.095445
i = .095445
new rate = .095445 + .02 = .115445
new amount = 400(1.115445)^2 = 497.69
                    Answered by
            Aditya
            
    Please teach me 
    
                                                    There are no AI answers yet. The ability to request AI answers is coming soon!
                                            
                Submit Your Answer
We prioritize human answers over AI answers.
If you are human, and you can answer this question, please submit your answer.