The amount (in Rs) received at 10% per annum compound interest after 3 years is Rs 1,19,790. What was the principal ?
Show answer & explanation
Correct answer: A
Explanation
The correct answer is option 1 ie 90,000.
P(1 + R/100)³ = 119790
P(1 + 1/10)³ = 119790
P(11/10)³ = 119790
P = (119790 × 10 × 10 × 10) / (11 × 11 × 11)
P = 90,000