In how many years will a sum of ₹10,000 become ₹13,310 at 10% compound interest per annum, compounded annually?

Explanation

Formula: A = P(1 + r/100)n Where: A = Final amount (₹13,310) P = Principal amount (₹10,000) r = Interest rate (10%) n = Number of years Substitute the values into the formula: 13,310 = 10,000(1 + 10/100)n 13,310 = 10,000(1.1)n Divide both sides by 10,000: 1.331 = (1.1)n Now, we need to find the value of n for which (1.1)n = 1.331. By calculating powers of 1.1, we find that: (1.1)3 ≈ 1.331 Therefore, n = 3. Answer: It will take 3 years for ₹10,000 to become ₹13,310 at 10% compound interest per annum, compounded annually.