Question

The compound interest on a sum of money is 512.50 calculated at 5% per annum for 2 years. What is the sum

Answer 1

here c.i.= 512.50
R=5%
T=2 YEARS
WE KNOW THAT
c.i.=P(1+R/100)^N-p
OR, 512.5=P(1+5/100)^2-p
OR, 512.5=p(21/20)^2-p
or, 512.5=p (441/400)-p
Or, 512.5={(441-400)p}/400
Or, 512.5=41p/400
hence p= 4900

hence p=

Answer 2

Dear Student,

◆ Answer -

Sum invested = ₹ 5000

● Explanation -

Formula for compound interest is -

Compound interest = P [(1 + r)^t - 1]

512.50 = P [(1 + 5/100)^2 - 1]

512.5 = P (1.05^2 - 1)

512.5 = P × (1.1025 - 1)

512.5 = P × 0.1025

P = 512.5 / 0.1025

P = ₹ 5000

Hence, the sum of money invested is ₹ 5000.

Thanks dear. Hope this helps you...