Question

what amount should be invested at 4% for 3 years to get 19510 as compound interest

Answer 1

$19510 = x \times ({1 + 4 \div 100})^{3} - x$
$19510 = {1.04}^{3} x - x$
$1.04 \times 1.04 \times 1.04 = 1.124864$
$19510 = 0.124864x$
$x = 19510 \div 0.124864$
$x = 156250$

Answer 2

Dear Student,

● Answer -

Principal = ₹ 156250

● Explanation -

# Given -

Compound interest = 19510 ₹

Rate of interest = 4 % p.a.

Time interval = 3 years

# Solution -

Formula for compound interest is -

C.I. = P [(1 + r)^t - 1]

19510 = P [(1 + 4/100)^3 - 1]

19510 = P [(1 + 4/100)^3 - 1]

19510 = P × (1.1249 - 1)

19510 = P × 0.1249

P = 19510 / 0.1249

P = ₹ 156250

Hence, sum invested must be ₹ 156250.

Thanks dear. Hope this helps you...