Question

if the compound interest on a certain sum for 2 years at 10% per annum is Rs 1050 ,the sum is ?

Answer 1

A= P(1+r/n)^nt
where A=P + C.I
P is principle amount , C.I is compound interest, r is rate of interest, n is no. of times interest is compounded, t is time period.
P+C.I= P(1+0.1)^2
P+1050=P(1.21)
1050=.21P
P=5000Rs.

Answer 2

Dear Student,

● Answer -

Sum = 5000 Rs

● Explaination -

# Given -

CI = 1050 Rs

r = 10 % per annum

t = 2 years

# Solution -

Compound interest over sum p is given by formula -

CI = P [(1+r)^t - 1]

1050 = P [(1 + 10/100)^2 - 1]

1050 = P [(1+0.1)^2 - 1]

1050 = P [1.1^2 - 1]

1050 = P [1.21 - 1]

1050 = P × 0.21

P = 1050 / 0.21

P = 5000 Rs

Therefore, sum is 5000 Rs.

Hope this helps you...