Mr sayyad kept rupees 40000 in a bank and 8% compound interest for 2 years MR Fernandez invested rupees 120000 in a mutual fund for two years after two years Mr Fernandez got 192000 whose investment turned out to be more profitable
Solution:
Amount of Mr. sayyad after 2 years =
where p = principal ,r= rate , and n = years
= 40000
= 40000
= 64 729
= 46,656
So, interest = 46656 - 40000= 6656 in 2 years
percentage return = = 16.64%
now , MR Fernandez invested rupees 120000 in a mutual fund for two years after two years Mr Fernandez got 192000
So, interest paid = 72000 in2 years
hence , percentage return =
So , Mutual fund investment MR Fernandez is more profitable.
Amount of Mr. sayyad after 2 years =
where p = principal ,r= rate , and n = years
= 40000
= 40000
= 64 729
= 46,656
So, interest = 46656 - 40000= 6656 in 2 years
percentage return = = 16.64%
now , MR Fernandez invested rupees 120000 in a mutual fund for two years after two years Mr Fernandez got 192000
So, interest paid = 72000 in2 years
hence , percentage return =
So , Mutual fund investment MR Fernandez is more profitable.