Find compound interest on a sum of ₹ 8000 for 9 months at 20% per annum, if the interest is being compounded quarterly.₹ 1050₹ 2522₹ 2100₹ 1261

To calculate the compound interest, we can use the formula:

A = P (1 + r/n)^(nt)

Where: A = the amount of money accumulated after n years, including interest. P = principal amount (the initial amount of money) r = annual interest rate (in decimal) n = number of times that interest is compounded per year t = time the money is invested for in years

Given in the problem: P = ₹ 8000 r = 20% per annum = 0.20 n = compounded quarterly = 4 times a year t = 9 months = 0.75 years

Substituting these values into the formula:

A = 8000 (1 + 0.20/4)^(4*0.75)

Calculating the values inside the bracket first:

A = 8000 (1 + 0.05)^(3) A = 8000 (1.05)^(3)

Now, calculate the power:

A = 8000 * 1.157625

Multiply to find the total amount after 9 months:

A = ₹ 9261.00

To find the compound interest, subtract the principal from the total amount:

Compound Interest = A - P Compound Interest = ₹ 9261.00 - ₹ 8000 Compound Interest = ₹ 1261.00

So, the compound interest on a sum of ₹ 8000 for 9 months at 20% per annum, compounded quarterly, is ₹ 1261.00.