Question

A certain sum of money returns ₹ 3240 at the rate of 20% per annum compound interest in 2 years, such that interest is being compounded annually. Find the principle amount. *
A : 2000
B : 2050
C : 2200
D : 2250

Answer 1

Step-by-step explanation:

I+ p = 3240

p= 3240 - I

We know that , I = prt ÷100

or, p = I × 100÷ RT

or , 3240 - I = 3240 × 100÷ 20 × 2