Question

a man borrows a certain sum of money and agrees to pay it by paying rs 4800 at the end of the first year and rs 6820 at the end of the second year.if the rate of interst be 10% per year find the sum borrowed​

Answer 1

Step-by-step explanation:

For the payment of Rs. 43,200 at the end of the first year :

A = Rs. 43200 ; n = 1 year and r = 8 % . To find P.

A=P

1

(1+

100

r

)

n

⇒43200=P

1

(1+

100

8

)

1

⇒P

1

=Rs.43200×

108

100

=Rs.40000

For the payment of Rs. 34,992 at the end of the second year :

Rs.34922=P

2

(1+

100

8

)

2

⇒P

2

=Rs.34922×(

108

100

)

2

⇒P

2

=34922×

108

100

×

108

100

=Rs.30000

∴ Sum borrowed = Rs. 40000 + Rs. 30000 = Rs. 70000