Ms sarita deposit RS 500 every month in a recurring deposit account for 2 years at 9% S.l per annum find. the interest she will earm in 2 years,the maturity value of deposit

Asked by sh489551 | 20th Sep, 2021, 02:58: AM

Expert Answer:

Recurring deposit Interest  I is given as
 
begin mathsize 14px style I space equals space P space cross times fraction numerator n space cross times space left parenthesis space n plus 1 right parenthesis over denominator 2 space cross times space 12 end fraction space cross times R over 100 end style
where P is principle amount deposited every month, n is number of months and
R is rate of interest per annum .
 
begin mathsize 14px style I space equals space 500 space cross times fraction numerator 24 cross times 25 over denominator 2 cross times 12 end fraction cross times 9 over 100 space equals space 1125 end style
Interest received = Rs. 1125
 
Maturity amount = ( 500 × 24 + 1125 ) = Rs. 13125 

Answered by Thiyagarajan K | 20th Sep, 2021, 07:36: AM