Question

Anil borrowed * 18000 from Rakesh at 8% per annum simple interest for 2
years. If
Anil had borrowed this sum at 8% per annum compound interest, what extra amount
would he has to pay?​

Answer 1

Answer:

In simple interest -

Annum–18000

Interest –8%

Time–2 years

Thus the interest he have to pay –

18000×8\100×2= 2880(only interest)

18000+2880=20880(with interest for 2 years)

In compound interest -

In the same values .

In 1st year – 18000×8\100=1440(only interest)

18000+1440=19440(Interest with annum)

In 2nd year-

19440×8\100=1555.2 (only interest)

19440+1555.2=20995.2(with total money of 1st year)

He have to pay more in compound interest by –20995.2–20880=115.2

Answer 2

Hope it may help u!!!

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