Question

a sum of money invested at CI payable yearly amounts to rs 2704 at the end of the second year and to rs 2812.16 at the end of third year.find the rate of interest and the sum.

Answer 1

divide 3rd and 2nd yr nd u get rate
1+r/100=2812.16/2704
r/100=2812.16-2704/2704
r/100=10816/270400
r=10816/2704
r=4%

nd now u can easily calculate principal

Answer 2

SI = 2812.16 – 2704 = 108.16

N = 3 – 2 = 1

P = 2704

R = SI × 100÷ P×N

= 108.16 × 100 ÷ 2704 × 1

= 10816 ÷ 2704

= 4 %