Question

In what time will Rs. 1000 become Rs. 1331 at 10% per annum compounded annually?
A) 1years
B) 2years
C) 3years
D) 4years

Answer 1

Here p=1000 rs A=1331 rs R=10% We know that A=p (1+r/100)^n Or A÷p=(1+r/100)^n Or 1331÷1000=(1+10/100)^n 1331÷1000=(11/10)^n (11/13)^3=(11/10)^3 So n= 3 yr