Ms.reema rao deposited rs.9000 at the end of each year in a bank. after 3 years, the amount accumulated was rs.29,790. find the annual rate of compounding.

I KNOW THE FORMULA IS : A = C/i [ ( 1 + i )n – 1 ]

BUT IM CONFUSED HOW DO I EQUATE THE SUM SINCE WE DO NOT HAVE THE VALUE FOR i.

PLEASE SOLVE AND EXPLAIN HOW WE GET THE RATE OF INTEREST …..THANK YOU !!! c:

The formula i use is : Accumulated amount = P (1 + (R/100))^n , where

P = Principle

R = Rate

n = no of calculation

In this case;

P=9000

R= ?

n=3

Amount = 29,790

therefore,

29790= 9000(1+(R/100))^3

3.31= (1+(R/100))^3

1.49030788 = 1+(R/100)

0.49030788 = R/100

R = 49.03%

The formula i use is : Accumulated amount = P (1 + (R/100))^n , where

P = Principle

R = Rate

n = no of calculation

In this case;

P=9000

R= ?

n=3

Amount = 29,790

A = P(1+R/100)^n

so first 9000 was invested for 3 years , second 9000 was invested for 2 years and last 9000 for one year.

29790 = 9000(1+R/100)^3 + 9000(1+R/100)^2 + 9000(1+R/100)

solve for R