find the sum of money which becomes rupees 14,520 in 2 years at a comp

1.	find the sum of money which becomes rupees 14,520 in 2 years at a compound interest rate of 10°per annum
Answer» ANSWER: Rs.12000 Step-by-step explanation: Easy formula for C.I. A for C.I(COMPOUND interest) = P{ 1 +(r/100)}^t (just a formula dude;) where a is amount = Rs.14520 where p is principal = ?(we have to FIND!) r is rate of interest = 10% P.a. t is TIME = 2 years Understanding the question The question is not asking for the final, instead it is asking for the initial principal. Solving the question A = P{ 1 +(r/100)}^t A/[{ 1 +(r/100)}^t] = P (we have to find the amount!) 14520/[{ 1+(10/100)}^2] = P (just putting the VALUE) 14520/(1.1)^2 = P 14520/1.21 = P P = 12000 (Easy! try to understand) Conclusion ∴ the initial sum of money was Rs.12,000.

find the sum of money which becomes rupees 14,520 in 2 years at a compound interest rate of 10°per annum

Answer»

Rs.12000

Step-by-step explanation:

A for C.I(COMPOUND interest) = P{ 1 +(r/100)}^t (just a formula dude;)

where a is amount = Rs.14520

where p is principal = ?(we have to FIND!)

r is rate of interest = 10% P.a.

t is TIME = 2 years

The question is not asking for the final, instead it is asking for the initial principal.

A = P{ 1 +(r/100)}^t

A/[{ 1 +(r/100)}^t] = P (we have to find the amount!)

14520/[{ 1+(10/100)}^2] = P (just putting the VALUE)

14520/(1.1)^2 = P

14520/1.21 = P

P = 12000 (Easy! try to understand)

∴ the initial sum of money was Rs.12,000.