Question
Aman invested 20% of an amount, denoted as Rs. 'P', in a
compound interest scheme with an annual interest rate of 10%, compounded annually. After 2 years, he earned Rs. 840 in interest. Determine the value of 'P'.Solution
ATQ, 0.2p × [(1.1)2 – 1] = 840 Or, 0.042p = 840 So, p = 20000 Therefore, p = 20000
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