Find the amount of Rs. 2400 after 3 years, when the interest is compounded annually at the rate of 20% per annum.
Given,
Principal = Rs.2400
Rate = 20% per annum
Time = 3 years
Hence,
Compound interest =
=
So,
Amount = principal + compound interest
= 2400 + 1747.20 = Rs.4147.20