The difference between compound and simple interest on a sum of money deposited for 2 years at 5% per annum is ₹ 12. Find the sum of money.
Compound Interest
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Question

The difference between compound and simple interest on a sum of money deposited for 2 years at 5% per annum is ₹ 12. Find the sum of money.

KnowledgeBoat · Accepted Answer

Let P be the sum of money. R = 5 %, T = 2 years C.I. = P - P = P x - P = P x - P = P x - P = 1.1025P - P = 0.1025P Now, difference between S.I. and C.I. = C.I. - S.I. = 50 ⇒ 12 = 0.1025P - 0.1P ⇒ 12 = 0.0025P ⇒ P = ⇒ P = ⇒ P = 4,800 Hence, the sum of money = ₹ 4,800.

Mathematics

The difference between compound and simple interest on a sum of money deposited for 2 years at 5% per annum is ₹ 12. Find the sum of money.

Compound Interest

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