3. Find the principal amount (P) for the following cases. (a) $$ r=5 \%, n=2 $$ years, $$ I=₹ 100 $$

Question

UpStudy AI · Accepted Answer

To find the **principal amount (P)** given the simple interest parameters, we can use the formula for **Simple Interest (SI)**:

$$
SI = P \times r \times n
$$

Where:
- $$ SI $$ = Simple Interest
- $$ P $$ = Principal Amount
- $$ r $$ = Annual Interest Rate (in decimal)
- $$ n $$ = Number of years

Given:
- $$ r = 5\% = 0.05 $$
- $$ n = 2 $$ years
- $$ SI = ₹100 $$

### Step-by-Step Calculation:

1. **Plug the known values into the formula:**

$$
100 = P \times 0.05 \times 2
$$

2. **Simplify the equation:**

$$
100 = P \times 0.10
$$

3. **Solve for $$ P $$:**

$$
P = \frac{100}{0.10} = 1000
$$

### **Answer:**

The principal amount $$ P $$ is **₹1,000**.
The principal amount $$ P $$ is ₹1,000.

Find the principal amount § for the following
cases.
(a) years, $₹$