The oldest extant mathematical manuscript in South Asia is the Bakhshali Manuscript, a birch bark manuscript written in "Buddhist hybrid Sanskrit" in the Śāradā script, which was used in the northwestern region of the Indian subcontinent between the 8th and 12th centuries CE. The manuscript was discovered in 1881 by a farmer while digging in a stone enclosure in the village of Bakhshali, near Peshawar (then in British India and now in Pakistan). Of unknown authorship and now preserved in the Bodleian Library in Oxford University, the manuscript has been variously dated—as early as the "early centuries of the Christian era" and as late as between the 9th and 12th century CE. The 7th century CE is now considered a plausible date, albeit with the likelihood that the "manuscript in its present-day form constitutes a commentary or a copy of an anterior mathematical work."
The surviving manuscript has seventy leaves, some of which are in fragments. Its mathematical content consists of rules and examples, written in verse, together with prose commentaries, which include solutions to the examples. The topics treated include arithmetic (fractions, square roots, profit and loss, simple interest, the rule of three, and regula falsi) and algebra (simultaneous linear equations and quadratic equations), and arithmetic progressions. In addition, there is a handful of geometric problems (including problems about volumes of irregular solids). The Bakhshali manuscript also "employs a decimal place value system with a dot for zero." Many of its problems are the so-called equalization problems that lead to systems of linear equations. One example from Fragment III-5-3v is the following:
"One merchant has seven asava horses, a second has nine haya horses, and a third has ten camels. They are equally well off in the value of their animals if each gives two animals, one to each of the others. Find the price of each animal and the total value for the animals possessed by each merchant."
The prose commentary accompanying the example solves the problem by converting it to three (under-determined) equations in four unknowns and assuming that the prices are all integers.
Read more about this topic: Indian Mathematics
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