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I have 2006 prius, today I parked my car and after few minutes I went back, inserted the key in the slot, pressed the break & pressed the start button to switch on the car, everything went normal, bt when i release the break and tried to pt in reverse gear it did not take the gear rather on the display the symbol moved to N, i tried again same happened, I then switched off the engine & started again and managed to put in reverse gear, later it happened again.

Does anyone has any idea why this happened.
 

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After 10 years, things wear and start failing......sometimes.
Your shifter mechanism probably needs adjustment or replacement.
It actually just sends signals to the computer so it is just mostly a switch.

When it is in the R notch but the display says N, you might be able to put a light pressure on it forward, back or to the side and have it do the proper thing; that is, actually switch to Reverse.
 
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