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a sum is invested at compound intrest compounded yearly. if the intrest for two successive years be rs 5,700 and rs 7,410, calculate the rate of intrest.

The starting amount is rs 5,700 and the ending amount is 7,410.
To find the total interest earned, take 7,401/5,700 - 1 = 1.3 - 1 = .3, which is 30%.

That, however, is the interest for 2 years.
To get the interest for 1 year, compute sqrt(1.3) - 1 = 1.14 - 1 = 14%.

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Scott A Wilson


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