Question
The income of ‘A’ increases by 20% every year. If
his income 3 years hence from now will be Rs. 13478.4, then find his income a year before from now.Solution
Let the present income of ‘A’ be Rs. x Therefore, x(1 + 20/100)3 = 13478.4 Or, x = 13478.4/(1.2)3 = 7800 Therefore, his income a year before from now = 7800/1.2 = Rs. 6500
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