Given data:
Principal = Rs. 100
Rate of Interest = 5% per annum
See Also
This Is Why It's Not Too Late to Begin InvestingThese Two Examples Illustrate the Magic of Compound Interest How To Start Investing In Your 20s | BankrateTime = 20 years
Solution:
⇒ Hence, r = 5/100 = 0.05.
⇒ So, A = 100(1 + 0.05/1)^(1×20).
⇒ This yields A = 100(1 + 0.05)^20 = 100(1.05)^20.
⇒ This comes out to A =~ Rs. 265.33.
Therefore, Rs. 100 will become approximately Rs. 265.33 after 20 years at 5% per annum compound interest.
Hence, the correct answer is approximately 265.50.
![[Solved] Rs. 100 will become after 20 years at 5% p.a. C.I. amount of (2024)](data:image/png;base64,iVBORw0KGgoAAAANSUhEUgAAAAEAAAABCAQAAAC1HAwCAAAAC0lEQVR42mP8/h8AAvMB+NzmkbcAAAAASUVORK5CYII=)