A sum of money Is paid back In two annual Instalments of Rs. 17.640 each, allowing 5% compound Interest compounded annually. The sum borrowed was
1). Rs.32,800
2). Rs.32,200
3). Rs.32,000
4). Rs.32,400
. Sum borrowed = Present worth
of Rs. 17640 due 1 year hence
+ Present worth of Rs. 17640
due 2 years hence
Rs. (16800 + 16000)
= Rs. 32800