the value of a property is increasing at the rate of 25% every year by what percent will the value of the property increase after 3 years
Dear student
assuming the present value to be Rs 100
assuming the present value to be Rs 100
After 3 yrs, the value
= 100(1+25/100)^3
= 100(5/4)^3
= 100*5*5*5/4*4*4
= 3125/16
= 195.31
= percentage increased =(195.31 - 100)/100 = 95.31% p.a
regards
regards