Question

find the difference between Si and CI on Rs 12000 at 9% per annum for 2 years

Answer 1

SI= 12000*9*2/100
SI= 2160
Therefore,Simple interest = Rs 2160

Compound Interest:
amount= 12000*(1+9/100)²
=12000*109/100*109/100
=14257.2
Compound interest=amount-principal
=14257.2 - 12000
=2257.2
There fore, difference between compound interest and Simple interest = 2257.2 - 2160
=97.2