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A sum of money invested at compound interest amounts to ₹ 650 at the end of first year and ₹ 676 at the end of second year. The sum of money is :
As per the given in question , Interest on ₹ 650 for 1 year = 676 – 650 = ₹ 26
⇒ r = 4% per annumP = | A | |
1 + | ||
r | t | |
100 |
P = | 650 | |
1 + | ||
4 | 1 | |
100 |
= | 650 | = 650 × | 25 | = ₹ 625 |
( 26/25 ) | 26 |
Using the given formula :Here, b – a = 1 , B = Rs 676, A = ₹ 650
R% = | B | − 1 | × 100% | ||
A |
R% = | 676 | − 1 | × 100% | ||
650 |
R% = | 676 −650 | × 100% | ||
650 |
Amount = P | 1 + | R | 1 | ||
100 |
650 = P | 1 + | 4 | ||
100 |
⇒ P = | 650 × 100 | = ₹ 625 |
104 |
Note : A sum at a rate of interest compounded yearly becomes ₹ A, in n years and ₹ A2 in (n + 1) years,
then P = A1 | A1 | n | ||
A2 |
Correct Answer:
Description for Correct answer:
Let the principal = P According to the question,
Hence Required principal =Rs. 625
Part of solved Simple and compound interest questions and answers : >> Aptitude >> Simple and compound interest
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