𝒎 n

A(1+ )
𝟏𝟎𝟎

𝒍 𝒎 𝒏
A(1+ )(1+ )(1+ )
𝟏𝟎𝟎 𝟏𝟎𝟎 𝟏𝟎𝟎
 Problem 1
The population of a town increases 5% annually. If
its present population is 84000, what will it be in 2
years time?
Here A=84000,m=5,n=2.
Population after tow years

=A(1+ 𝒎 )n
𝟏𝟎𝟎

=84000(1+5/100)2
= 84000*105/100*105/100

= 92610
 Problem 2
• The population of a town increases at the rate of
5% annually. If the present population is 4410,
what it was 2 years ago ?
Here A=4410, m=5, n= -2.
𝒎 n
A(1+ )
𝟏𝟎𝟎
4410(1+5/100)-2
4410 105 105
= 4410/( ∗ ) = 4000
(1+5/100)2 100 100
 Problem 3
• Mohan invested an amount of ₹15000 at
compound interest rate 5% per annum for a
period of 2 years. What amount will he receive at
the end of 2 years?
Here A=15000, m=5,n=2.
𝒎 n
A(1+ )
𝟏𝟎𝟎
=15000(1+5/100)2
=15000*105/100*105/100
=16537.50
 Problem 4
• Find compound interest on 5000 for 2 years at 4%
per annum.
Here A=5000, m=4, n=2.
𝒎 n
A(1+ ) Principal=5000
𝟏𝟎𝟎 Amount=5408
5000(1+4/100)2 Compound interest=amount-principal
Amount=principal(1+m/100)n
5000*104/100*104/100
5408 ( this is total amount )
So, compound interest =5408-5000
=408
 Problem 5
• Mohan invested ₹16000 for 2 years at C.I and
received an amount of ₹17640 on maturity. What
is the rate of interest?
Here A=16000, amount=17640, n=2, m=rate = ?
𝒎 n
Amount=A(1+ )
𝟏𝟎𝟎
17640=16000(1+m/100)2
17640/16000=(1+m/100)2
1.1025=(1+m/100)2
√1.1025=(1+m/100)
1.05-1=m/100
m=0.05*100 = 5% p.a.
 Problem 6
• Find the amount of 8000 in one and half years at 5%
per annum C.I payable half yearly.
Here A=8000 , m=5, n=3/2.
𝒎 2n
Amount=A(1+ )
𝟏𝟎𝟎∗𝟐 If the interest is compounded half
=8000(1+5/200)2*3/2 yearly, then
𝒎 2n
=8000*205/200*205*200*205/200 Amount=A(1+ )
𝟏𝟎𝟎∗𝟐

=8615.13 If the interest is compounded

quarterly , then
𝒎 4n
Amount=A(1+ )
𝟏𝟎𝟎∗𝟒
 Problem 7
Sohan invest ₹5000 in a bond which gives interest
at 4% per annum during the first year, 5% during
the second year and 10% during the third year.How
much does he get at the end of the third year.
Here A=5000, l=4,m=5,n=10
𝒍 𝒎 𝒏
A(1+ )(1+ )(1+ )
𝟏𝟎𝟎 𝟏𝟎𝟎 𝟏𝟎𝟎
5000(1+4/100)(1+5/100)(1+10/100)
5000*104/100*105/100*110/100
₹6006
 Problem 8
• The population of a town is 144000. it increases by 5% during
the first year. During the second year, it decreases by 10% and
increases by 15% during the third year. What is the population
after 3 years.
here A=144000, l=5, m= -10, n=15.
Population after 3 years
𝒍 𝒎 𝒏
=A(1+ )(1+ )(1+ )
𝟏𝟎𝟎 𝟏𝟎𝟎 𝟏𝟎𝟎
=144000(1+5/100)(1-10/100)(1+15/100)
=144000*105/100*90/100*115/100
=156492.
Thanks.