Question

(b) The difference between the compound
and simple interest on a sum of money
for 2 years at 8% per annum is 32. Find
the sum of the money.​

Answer 1

Answer:

Rs.50000

Step-by-step explanation:

Let the sum be Rs.100

Computation of compound interest:

Prinicpal =Rs.100

R=10% per annum and n=2 years.

Amount=Rs.

⎣

⎢

⎡

​

100×(1+

100

10

​

)

2

 

⎦

⎥

⎤

​

               =Rs.

⎣

⎢

⎡

​

100×(

2

11

​

)

2

 

⎦

⎥

⎤

​

=Rs.121

Computation of simple interest:

Prinicpal =Rs.100

R=10% and Time =2 years.

∴S.I.=Rs.(

100

100×10×2

​

)=Rs.20

Thus, difference in C.I. and S.I.=Rs.(21−20)=Re.1

Now, if difference between C.I and S.I. is Re.1,    Then Sum =Rs.100

If difference between C.I. and S.I. is Rs.500,    Then Sum =Rs.(100×500)=Rs.50000