Question

Difference = P(R)²/(100)² how did this formula came?​

Answer 1

Answer:

If the difference between compound and simple interest is of two years than,

Difference = P(R)²/(100)²

Where P = principal amount, R = rate of interest

If the difference between compound and simple interest is of three years than,

Difference = 3 x P(R)²/(100)² + P (R/100)³.

Here also, P = principal amount, R = rate of interest.