Question

What principal will amount to 2600 in 3 years at 10% simple interest?​

Answer 1

Answer:

Initial investment/principal must be = ₹ 2000 for the amount to be ₹ 2600 in 3 years at 10% simple interest.

For simple interest,

Amount = Principal * (1+r * years)

₹ 2600 = Principal * (1+0.1 * 3)

Principal * 1.3 = ₹ 2600

Principal = ₹ 2600 / 1.3 = ₹ 2000