Question

Money invested in compound interest amount to rs 27783 in 3 years and rs 26460 in 2 years what is the rate percent of interest ?

Answer 1

26460= P (1+r)^2
27783 = P (1+r)^3

P = 26460/(1+r)^2
27783 = [26460/(1+r)^2] (1+r)^3
(1+r) = 27783/26460
(1+r) = 1.05
5%