Question

Mahesh plans to send his daughter for higher studies abroad after 10
years. He expects the cost of these studies to be Rs. 10,00,000. How
much should he save at the beginning of each year to have a sum of
Rs. 10,00,000 at the end of 10 years, if the interest rate is 10%
compounded annually?​

Answer 1

Answer:

Let p be the amount

1000000=p(1+10/100)^10

1000000=p(1.1)^10

1000000=p(2.59)

p=1000000/2.59=3.86100