When the rate of intrest is 4% , find what sum must be paid now to recieve a freehold estate of ₹ 400 a year , 10 year hence ??
Given,
log 104 = 2.0170333,
log 6.75565 = 0.8296670
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Step-by-step explanation:
every year paid 400
total years 10
total amount =10x400 =4000
10 year interest for first 400
9 year interest for second 400 etc
total interest = pnr =400 [10 +9+8+...+1] 4/100=16 [ 10x9]/2 =8x45 =360
so amount = 4000 + 360
=4360
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