Question

In how many years will Rs. $1500$ yield Rs. $1996.50$ as amount at $10\%$ per annum compounded annually?

Answer 1

Using $A=P{(1+\frac{r}{100})}^n$
Here $P=$ Rs. $1,500,A=$ Rs. $1,996.50,r=10\%$.
$1,996.50=1500{(1+\frac{10}{100})}^n$
$\frac{1,996.50}{1,500}={\left(\frac{110}{100}\right)}^n$
${\left(\frac{11}{10}\right)}^3={\left(\frac{11}{10}\right)}^n$
$\Rightarrow n=3$