Question

find the difference between simple interest and compound interest on Rs90000 at 4p. c. p. a​

Answer 1

Answer:

0

Step-by-step explanation:

Principlal Amount = Rs. 90000

Rate p.a. = 4%

Time Period = 1 year

Simple Interest = (P x R x T)/100

                         = (90000 x 4 x 1)/100

                         = 3600

Total Amount           = P(1 + R/100)^T

                                 = 90000(1 + 1/25)^1

                                 = 90000 x 26/25

                                 = 93600

Compound Interest = Total Amount - Principal

                                 = 93600 - 90000

                                 = 3600

Compound Interest - Simple Interest

= 3600 - 3600

= 0