Advertisements
Advertisements
Question
The CI earned by a sum of money in 2 years at 8% p.a. is ₹ 832. Find the sum.
Sum
Advertisements
Solution
Given:
- Compound Interest (CI) = ₹ 832
- Rate (R) = 8% per annum
- Time (n) = 2 years
Compound Interest:
`CI = P[(1 + R/100)^n - 1]`
832 = P[(1.08)2 – 1]
832 = P(1.1664 – 1)
832 = P × 0.1664
⇒ `P = 832/0.1664`
⇒ P = ₹ 5,000
The sum principal is ₹ 5,000.
shaalaa.com
Is there an error in this question or solution?
