Answer: He should deposit Rs. 10379.21 to get balance of $14,000.
Step-by-step explanation:
Since we have given that
Rate of interest = 6% compounded monthly
Amount = $14,000
Time = 5 years
Number of months in 5 years = 5 × 12 =60 months
Let P be the sum, so it becomes,
[tex]A=P(1+\dfrac{r}{1200})^nt\\\\14000=P(1+\dfrac{6}{1200})^{60}\\\\14000=P(1+0.005)^{60}\\\\\dfrac{14000}{1.005^{60}}=P\\\\P=10379.21[/tex]
Hence, he should deposit Rs. 10379.21 to get balance of $14,000.
