A bank offers 3% compound interest calculated on quarter-yearly basis.
A bank offers 3% compound interest calculated on quarter-yearly basis. A customer deposits $ 15000 each in 1st month. At the end of the year, the amount he would have gained by way of interest is?
Answer/Solution
455
Steps/Work
Amount = (15000)* (1 + (3/4*100))^4
Amount = 15000 * (1+ 0.0075)^4 = 15455 ------(for investment in 1st month)
Interest = 15455-15000 = 455..............
Ans -C
Amount = 15000 * (1+ 0.0075)^4 = 15455 ------(for investment in 1st month)
Interest = 15455-15000 = 455..............
Ans -C