Akhilesh invested a certain sum, which amounted to ₹82,000 in 2 years at 6% per annum compound interest, compounded annually. What was the sum invested (in ₹) by Akhilesh? (round off to the nearest integer)
Show answer & explanation
Correct answer: C
Explanation
The correct answer is option 3 i.e. 72,980.
Amount (A) = P(1 + R/100)n
Where, A = Amount after compound interest = ₹82,000
P = Principal investment amount
R = Annual interest rate = 6%
n = Number of times that interest is compounded = 2
So, 82000 = P(1 + 6/100)2
⇒ 82000 = P(53/50)2
⇒ P = 82000 × (50/53) × (50/53) = 72979.70... = 72980 (approx)
Therefore, the sum invested by Akhilesh was ₹72,980.