Question

7. What sum will become 12,550 after 2 years at 8% per annum compound interest?​

Answer 1

Answer:

So we don't know the Principal.

Step-by-step explanation:

P=?

Annual Compound Amount(A) = 12550

Time (T)= 2yrs

Rate(R)= 8%

Amount when Interest is Compounded Annually= 12550

or, P[1+(R/100)^T ] = 12550

or, P[1+(8/100)^2] = 12550

or, 1.0064P= 12550

or, P= 12550/ 1.0064

Therefore, P= 12470.19