By using the formula, find the amount and compound interest on:

Principal amount, $P=$ Rs. 10000

Rate of interest, $R=11 \%$ per annum.

Time, $n=2$ years.

The formula for the amount including the compound interest is given below :

$A=$ Rs. $P\left(1+\frac{\mathrm{R}}{100}\right)^{\mathrm{n}}$

$\Rightarrow A=$ Rs. $10000\left(1+\frac{11}{100}\right)^{2}$

$\Rightarrow A=$ Rs. $10000\left(\frac{100+11}{100}\right)^{2}$

$\Rightarrow A=$ Rs. $10000\left(\frac{111}{100}\right)^{2}$

$\Rightarrow A=$ Rs. $10000(1.11 \times 1.11)^{2}$

$\Rightarrow A=$ Rs. 12321

i. e., the amount including the compound interest is Rs $12321 .$

$\therefore$ Compound interest $=$ Rs. $(12321-10000)=$ Rs. 2321