What sum of money will amount to ₹ 93,170 in 3 years at 10% per annum, compounded annually?

Let sum of money be ₹ x.

Given,

P = ₹ x

r = 10%

n = 3 years

A = ₹ 93,170

By formula,

A = $P\Big(1+ \dfrac{r}{100}\Big)^n$

Substituting values we get :

$\Rightarrow 93170 = x \times \Big(1 + \dfrac{10}{100}\Big)^3 \\[1em] \Rightarrow 93170 = x \times \Big(\dfrac{110}{100}\Big)^3 \\[1em] \Rightarrow 93170 = x \times \Big(\dfrac{11}{10}\Big)^3 \\[1em] \Rightarrow 93170 = x \times \dfrac{1331}{1000} \\[1em] \Rightarrow x = \dfrac{93170 \times 1000}{1331} \\[1em] \Rightarrow x = ₹ 70,000.$

Hence, sum of money = ₹ 70,000.