Question

What sum of money will amount to 59261 in 3 years at 5% per annum compound
interest?
please explain step by step​

Answer 1

Solution:

$Sum$$of$$Money:-?$$Time=3 years$

$Rate = 5%p.a$

$Amount=59261$

$Amount=$$Principal$

$(1+$$Rate$$/100)$n

$=>59261=$$P(1+$$5$$/100)³$

$=>59261=P(105/100)³$

$=>59261=P(21/20)³$

$=>59261=P×21/20×21/20×21/20$

$=>59261×20×20×20/21×21×21=P$

$=>51,191.87=P$

$Sum$$of$$Money=51,191.87$

$[Taken$$Only$$Till$$2$$Decimal$$Places.]$