Question

on what sum will the compound interest at 7 whole 1 by 2% per annum for 3 years compounded annually be rupees 3101.40

Answer 1

Principal amount (p) = ?

rate of interest = i =  7 1/2 % = 7.5%

time = n = 3years  

Compound interest = CI = 3101.40

compounded Interest  = P((1+i)^n - 1)

3101.40=P((1 + 7.5/100)^3

-1)

3101.40= P9(1 + 0.075)^3

-1)

3101.40= P()1.075)^3

-1)

3101.40=P(1.242296875-1)

3101.40/0.242296875 = P

12800 = P = Principal Amountt