Business mathematics

Class : B.com 1 year( CA)
Subject : Business Mathematics
Faculty's name: Dr. Asmita Jain
Topic : Compound interest

sum of money amounts to Rs.14680 in 3 years @5.5 % p.a. compound interest
Given:
• Amount (A) = ₹14,680
• Rate of interest (r) = 5.5% p.a. = 0.055
• Time (n) = 3 years
• Interest = Compound Interest (compounded annually)
Formula:
Principal = AL [ log Amount - n (log 1 + i)]
P = Al [log 14680 - 3 (log 1.055)
P= Al [4.1668 - 3 × 0.0212]
P= Al 3.1761
P= 1500