Question

The amount of a certain principal is rupees 6655 in 3 years compounded annually at the rate of 10 pcpa find the principal

Answer 1

Answer:

Rs.5000

Explanation:

Amount (A) = Rs.6655

Rate (R) = 10% p.a.

Number of years (n) = 3

Let the principal be P.

A = P (1 + R/100)ⁿ

=> 6655 = P (1 + 10/100)³

=> 6655 = P (11/10)³

=> P = 6655 × 10/11 × 10/11 × 10/11

=> P = Rs.5000