Question

On what priniciple will the compound interest at $5\%$ per annum for $2$years compounded annually be Rs$164$.

Answer 1

$r=5\%,n=2,CI=Rs.164$

$CI=P\left(\right[1+{\frac{r}{100}}^n]-1)$

$164=P\left(\right[1+{\frac{5}{100}}^2]-1)$

$⟹P=Rs.1600$