Question

In how many years Rs. 1000 will become Rs.1210 at the rate of 5% compounded anually​

Answer 1

Principal = Rs. 1000

Rate of interest = 5%

Amount = Rs. 1210

Let time be t.

S.I. = Amount - Principal

= 1210 - 1000 = Rs. 210

S.I. =

$\frac{p \times t\times r}{100}$

$210 = \frac{1000 \times t \times 5}{100} \\ \\ 210 = 50t \\ \\ \frac{210}{50} = t \\ \\ 4.2 = t$

So, time is 4.2 years.