Final answer:
The principal sum that would accrue Rs. 829.50 in simple interest over 3 years at an annual rate of 10% is Rs. 2765.
Step-by-step explanation:
To calculate the principal sum of a simple interest loan, we use the formula Interest = Principal × rate × time. Given that the simple interest amounts to Rs. 829.50 for 3 years with an annual interest rate of 10%, we can set up the equation:
829.50 = Principal × 0.10 × 3
To find the Principal, we divide both sides of the equation by the product of the rate and time, which is (0.10 × 3):
Principal = 829.50 / (0.10 × 3)
Principal = 829.50 / 0.30
Principal = Rs. 2765
Therefore, the principal sum is Rs. 2765.