Question

find the difference between compound interest and simple interest if principal is rupees 4000 and rate is 5% and number of years is two years


want complete explaination✔️​

Answer 1

Step-by-step explanation:

The difference between the compound interest and simple interest (for 2- years) is given by the formula = Pi²,

where P= Principal = Rs 4000

i =5%= 0.05

So difference = Rs 4000(0.05)² = Rs. 10

××××××××××××××××××××××××× Check:

Amount for 2- years in C.I =4000 x (1.5)²= Rs 4410

So Comp.Int= Rs. 410

Simple interest for 2- years = Rs 4000 x 2 x 0.05 = Rs 400

So C.I - S.I = Rs (410–400) =Rs10

pls mark me an brainalist answer

Answer 2

top medical College of Mumbai