Question

in how many years will 16000 amount to 21296 at 10% per annum if the interest is compounded annually​

Answer 1

Answer:

What sum of money will amount to 21,296 in 3 years at 10% per annum, compounded annually?

Here Amount = 21,296; Rate of interest(R) = 10%

And time period(n) = 3yrs

Amount = P(1+(R/100))^n

Amount(A) = 21,296

=P(1+(10/100))^3

=P(110/100)^3

=P(1331/1000) =21,296

=>P = 21296*1000/1331

=16000

Hence the principle is 16000