At an interest rate of 5%, the interest on ₹100 for 1 month is: \[ \frac{100 \times \frac{1}{12} \times 5}{100} = \frac{5}{12} \text{ rupees} \] ∴ The farmer deposits ₹100 every month, so in 12 months he deposits: \[ 100 \times 12 = ₹1200 \] The ₹100 deposited in the first month earns interest for 12 months, the second month’s deposit earns interest for 11 months, and so on. The last month’s deposit earns interest for 1 month. ∴ Total interest earned: \[ \left(\frac{5 \times 12}{12} + \frac{5 \times 11}{12} + \cdots + \frac{5 \times 1}{12}\right) = \frac{5}{12} \times (12 + 11 + 10 + \cdots + 1) \] Sum of the series: \[ 12 + 11 + 10 + \cdots + 1 = 78 \Rightarrow \text{Total interest} = \frac{5}{12} \times 78 = ₹32.50 \] ∴ At the end of the year, the total amount (principal + interest) the farmer receives is: \[ ₹1200 + ₹32.50 = ₹1232.50 \]