Question:-
What sum of money will amount to Rs.9261 in 3yrs at 5% per annum compound interest?
Answer:-
Given:-
[tex] \bullet [/tex] Amount (A) = Rs.9261
[tex] \bullet [/tex] Time (n) = 3 yrs
[tex] \bullet [/tex] Rate of interest (r) = 5%
To Find:-
Required Sum
Solution:-
We know the formula,
[tex] { \boxed{\rm \red {A \; = \: P(1 \: + \frac{r}{100})^n}}} [/tex]
[tex] \therefore [/tex] Putting the values we get,
[tex] \bf 9261 \: = \: P(1 \: + \frac{5}{100})³ [/tex]
[tex] \bf P \: = \: 9261 \: × (\frac{20}{21})³ [/tex]
[tex] \bf P \: = \:9261 \: × \frac{20}{21} × \frac{20}{21} × \frac{20}{21} [/tex]
[tex] \bf P \: = \: Rs.8000 [/tex]
[tex] \therefore [/tex] Required Sum is Rs.8000. [Answer]
