Question
A certain sum of money invested at a rate of 12% p.a.
amounts to Rs. 20837.25 at the end of 15 months if the rate of interest is compounded 5 monthly. Find the sum (in Rs.).Solution
Desired rate = (5/12) × 12 = 5% Let the sum is Rs. ‘P’. So, 1.05 × 1.05 × 1.05 × P = 20837.25 Or, P = 18000
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