Sahil opened a recurring deposit acount in bank and deposit Rs.150 per month for 8 months. At the time of maturity he received Rs.1236. Find the rate of interest.

Asked by sreenivasanmaralapadu | 10th Jul, 2015, 08:05: PM

Expert Answer:

M o n t h l y space d e p o s i t space left parenthesis P right parenthesis equals R s.150 G i v e n space t h a t space t h e space m a t u r i t y space a m o u n t equals R s.1236 L e t space t h e space r a t e space o f space i n t e r e s t space b e space R % T i m e space n equals 8 space m o n t h s T o t a l space t i m e space N equals fraction numerator n open parentheses n plus 1 close parentheses over denominator 2 cross times 12 end fraction equals fraction numerator 8 cross times 9 over denominator 2 cross times 12 end fraction equals 1 space y e a r T o t a l space i n t e r e s t equals fraction numerator P N R over denominator 100 end fraction T o t a l space A m o u n t equals P cross times n plus fraction numerator P N R over denominator 100 end fraction rightwards double arrow 1236 equals 150 cross times 8 plus fraction numerator 150 cross times 1 cross times R over denominator 100 end fraction rightwards double arrow 1236 equals 1200 plus fraction numerator 3 R over denominator 2 end fraction rightwards double arrow fraction numerator 3 R over denominator 2 end fraction equals 1236 minus 1200 rightwards double arrow fraction numerator 3 R over denominator 2 end fraction equals 36 rightwards double arrow R equals fraction numerator 36 cross times 2 over denominator 3 end fraction rightwards double arrow R equals 24 %

Answered by Vimala Ramamurthy | 11th Jul, 2015, 11:21: AM

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