Question
The income of ‘A’ increases by 20% every year. If
his income 2 years hence from now will be Rs. 34560, then find his income a year before from now.Solution
Let the present income of ‘A’ be Rs. x Therefore, x(1 + 20/100)2 = 34560 Or, x = 34560/(1.2)3 = 24000 Therefore, his income a year before from now = 24000/1.2 = Rs. 20000
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