Find the amount and the compound interest on rupees 5000 for 2 years at 6% per annum, Interest payable yearly. Answer with full steps and formula NO BAD ANSWERS REQUIRED :D

I. Amount = 5618 Rupees

II. Compound interest = 618 Rupees

Step-by-step explanation:

To find the compound interest;

Mathematically, compound interest is calculated using the formula;

A = P(1 + r)^t

Where;

Substituting into the formula, we have;

A = 5000(1 + 0.06)^2

A = 5000(1.06)^2

A = 5000 * 1.1236

A = 5618 Rupees

Next, we would determine the compound interest using the formula;

C.I = A - P

C.I = 5618 - 5000

Compound interest (C.I) = 618 Rupees

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step-by-step explanation: