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all along. I wont be earning. Right now I save about 200 rupeesper month but this paltry sum can never get me that guitar.”The teacher smiled with a glint in his eyes. He said, “Dariusplease dont think that I am making fun of your situation. Notat all. In fact you took me 10 years back in time when I madea similar decision to buy my own electric guitar when I wasmerely 14!”Darius got a little excited. He said, “Really sir, did you succeed?You must have really pinched yourself to save so much money!”Teacher: “You see that guitar on the mantel Darius, that’sthe one that I bought when I was exactly 21!”Darius: “How did you manage such an amazing feat?”Teacher: “Just regular saving and investment. I did not hadto sacrifice much either. I just saved and invested a smallamount regularly and did not stop till I got what I wanted.I also started saving about 150 rupees every month for thelast two years in high school and then saved more and moreas I grew up and earned a little bit of money. Not much, sayabout 1500 per month!”Darius: Do you think I will be able to buy the guitar too, onmy own... that is… I don’t want to bother my dad.Teacher: Of course you will be able to! Get a pen and paperand lets make you a plan!!Theory-WiseSimple InterestFormula:P × N × RI =100I = Interest,P= Principal, R = rateof interest, N = periodTheory-WiseCompound InterestFormula:A = P × (1+r) nA = Amount,P= Principal, R = rateof interest,n = number of periods,r = R/10029