find the amount if principal is 80000, rate is 10 percent and time 1½ year. if the interest is compound annually

To find the amount when compound interest is applied, we use the compound interest formula:

\[
A = P \left(1 + \frac{r}{100}\right)^t
\]

Where:
- $ A $ is the amount,
- $ P $ is the principal,
- $ r $ is the rate of interest (annual),
- $ t $ is the time (in years).

Given:
- Principal $ P = 80,000 $,
- Rate $ r = 10\% $,
- Time $ t = 1.5 \, \text{years} $.

### Step 1: Calculate the amount
Substitute the values into the formula:

\[
A = 80,000 \left(1 + \frac{10}{100}\right)^{1.5}
\]

\[
A = 80,000 \left(1.10\right)^{1.5}
\]

Now, let's calculate that.The amount after 1.5 years with an annual compound interest rate of 10% on a principal of 80,000 is approximately $ 92,295.18 $.

Would you like a breakdown of the steps or have any further questions? Here are some related questions to explore:

1. What would the amount be if the rate was 12% instead of 10%?
2. How much interest was earned over the 1.5 years?
3. What would the amount be if the time period was extended to 3 years?
4. How does compound interest differ from simple interest in this scenario?
5. How would the formula change if interest was compounded semi-annually instead?

**Tip:** In compound interest, the more frequently the interest is compounded, the higher the final amount will be!

Learn how to calculate compound interest with a principal of $80,000, an annual interest rate of 10%, and a time period of 1.5 years. Understand the formula and steps involved to find the amount accrued over time.

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