Question

find the difference between compound and simple interest and amount of rupees 10000 at a rate of 10% per annum for 2 years and check the better one

Answer 1

compound interest 

Amount = $P(1+ \frac{r}{100} ) ^{n}$
              = $10000(1+ \frac{10}{100})^{2}$
              = 10000 x 1.1²
              = 10000 x 1.21
              = 12100

Simple interest 

Amount = $\frac{prt}{100} + p$
              = $\frac{(10000)(10)(2)}{100} + 10000= 12000$

which one is better depends on the situation asked