Question

2705 is compound annually at a rate of 8% for 1 year

Answer 1

The formula of compound interest is,

$\begin{gathered} A=P(1+i)^n \\ \text{Here, A=2075, i=8\%, n=1 year} \\ 2075=P(1+\frac{8}{100})^1 \\ P=1921.3 \end{gathered}$