Question

In how many years will Rs. 7,000 amount to Rs. 9,317 at 10 per cent per annum compound interest ?

Answer 1

Given that

A = ₹9,317

P = ₹7,000

R = 10 % p.a.

T = ?

A = P$(1+\frac{R}{100}{)}^n$

=> 9,317 = 7,000$(1+\frac{10}{100}{)}^n$

=> $\frac{9,317}{7,000}$ = $(\frac{100+10}{100}{)}^n$

=> $\frac{1,331}{1,000}$ = $(\frac{110}{100}{)}^n$

=> $\frac{1,331}{1,000}$ = ${\frac{11}{10}}^n$

=> $(\frac{11}{10}{)}^3=(\frac{11}{10}{)}^n$

=> n = 3 years