Question

Find the sum which will amount to $Rs.700$ in $5$ years at $8\%$ p.a..

Answer 1

Let the sum be $P$

$S.I=\frac{PRT}{100}=\frac{P\times 8\times 5}{100}=\frac{40P}{100}=\frac{2P}{5}$

$A=S.I+P=\frac{2P}{5}+P=\frac{7P}{5}$

$700=\frac{7P}{5}$

So, $P=\frac{700\times 5}{7}=Rs.500$