Question

A sum of money deposited at 2% per annum compounded annually becomes 10404 at the end of 2 years. Find
the sum deposited.
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Answer 1

Answer:

let P=principal value.

According to the formula of compound interest

P(1+r/100)^n=P+I

here r=2,n=2,P+I=10404

therefore,

P(1+2/100)^2=10404

P(51/50)^2=10404

P=(10404×50×50)÷(51×51)

P=4×50×50

P=10000

hence the sim deposited is 10000

Answer 2

Step-by-step explanation:

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