Find the compound interest on Rs. 8000 for 9 months at 20% per annum compounded quarterly.
Principal = Rs.8000
Time =9 months
Rate = 20% per annum
∵ Interest is compounded quarterly, So Rate of interest will be counted as 20/4 = 5% and time will be 9/3 = 3 Quarter
We know that,
Hence, Compound Interest = Rs. 9261 – Rs 8000 = Rs. 1261