Model 3: Different Rates in Different Years

04 Try it yourself Interactive

One bracket per year

Give each year its own rate and watch the balance compound through them. The last step shows both the true equivalent annual rate and the arithmetic average of the rates, so you can see the gap. Set the third rate to 0% for a two-year question.

₹10,000 at 10%, 20% then 25%

A 16,500 · 65% overall

Try entering the same rates in a different order — the final amount does not change, because multiplication commutes.

Press Next to work through it one step at a time.

Overall growth–

Equivalent p.a.–

Interest–

Balance–

step 0 / 0