Early this year, I deposited Rs. 1, 35,000 in PPF account. If I keep depositing the minimum amount required to keep my PPF account active for rest of the next 14 years, then what will be the maturity amount that I will get after 15 years tenure?
You will get approximately Rs. 4, 85,660. How? First year principal is Rs. 1, 35,000 @ 8.7% and minimum annual investment of Rs. 500. At the end of first year, you will get 1, 46,745. To this you will add Rs. 500. Apply simple compound interest formula and to calculate the final amount.