Question

a) Ham invested a certain amount of money for 3 years at 8% per annum. The simple
interest eamed by him is half the compound interest on 4,000 for 2 years at 10% per
annum. Find the simple interest earned by Ram


Please give write answer​

Answer 1

Step-by-step explanation:

Principal for the first year = Rs. 20,000, rate = 5%, T = 1 year.

Interest for the first year =

100

20,000×1×5

=Rs.1,000 (using simple interest formula I=

100

P×T

1

×R

).

Principal for the second year = Rs. 20,000+1,000=Rs. 21,000.

Interest for the second year =

100

21,000×5

=Rs.1,050

Amount after 2 years = Rs. 21000 + 1050 = Rs. 22,050.

Compound interest = amount - principal = Rs. 22,050 - Rs. 20,000 = Rs. 2,050.

Hence the compound interest after 2 years is Rs. 2,050.

Simple interest on Rs. 20,000 for 2 years at the rate of 5% is

I=

100

20000×2×5

=Rs.2,000.