Question

If a sum of money at 5% compound interest per annum for 2 years becomes rs.615 then find the principal amount

Answer 1

Amount = A= Rs 615
principal =P
number of times pay the interest =n =2
rate = r =5%

A= P(1+r/100)^ n
615=P(105/100)^2
615=P*105/100*105/100
p=(615*100*100)/(105*105)
p=557.8 Rs

Answer 2

Here's The calculation...