Question

In how many years will an amount double itself invested at 10% compounded annually?


pls answer the above question correctly​

Answer 1

We know,

$\boxed{\bold{\sf{Simple \ Interest \ (I) = \dfrac{P\times R\times t }{100}}}}$

Here,

• P = Principal amount

• R = Rate of interest  

• t = Time period

Given,

R = 10%

Elements:

• Within the required time, the sum of money doubles itself.

• If we had principal amount as P then this amount will become 2P.

• Then simple interest becomes 2P-P = P.

$\sf{\implies \dfrac{R}{100}=\dfrac{10}{100}=0.1\%}$

Since, I = P,

$\sf{\implies P=\dfrac{P\times R\times t}{100}}$

$\sf{\implies 1=\dfrac{R\times t}{100}}$

$\sf{\implies 1=0.1\times t }$

$\sf{\implies t=\dfrac{1}{0.1}}$

$\sf{\implies t=10 \ years}$

$\boxed{\bold{\sf{Time \ taken =10 \ years}}}$