Question

find the difference between the compound interest and simple interest on rupees 625000 at 6% per annum for 2 years​

Answer 1

$\bold{\underline{\underline{Answer:}}}$

$\bold{\therefore Difference=2250\:rupees}$

$\bold{\underline{\underline{Step-by-step\:explantion:}}}$

• In the given question information given about amount investment. Time and rate of investment is given.

• We have to find the difference between Compound interest and Simple interest.

$\underline \bold{Given : } \\ \implies Principle (P)= 625000 \\ \\ \implies Rate(R) = 6 \% \\ \\ \implies Time(T) = 2 \: years \\ \\ \underline \bold{ To \: Find : } \\ \implies Difference \: between \: CI\: and \: SI= ?$

• According to given question :

$\bold {For \: Simple \: Interest : } \\ \implies SI = \frac{P \times R \times T}{100} \\ \\ \implies SI = \frac{6250 \cancel{00} \times6 \times 2 }{ \cancel{100}} \\ \\ \bold{\implies si = 75000} \\ \\ \bold{For \: Compound \: Interest : } \\ \implies A= P(1 + { \frac{R }{100} })^{T} \\ \\ \implies A= 625000(1 + \frac{6}{100} )^{2} \\ \\ \implies A = 625000(1 + 0.06)^{2} \\ \\ \implies A= 625000 \times (1.06)^{2} \\ \\ \implies A= 625000 \times 1.1236 \\ \\ \implies A= 702250 \\ \\ \implies CI = A-P \\ \\ \implies CI= 702250 - 625000 \\ \\ \implies CI= 77250 \\ \\ \bold{Difference \: between \: CI\: and \: SI} \\ \implies Difference= CI - SI \\ \\ \implies Difference = 77250 - 75000 \\ \\ \bold{\implies Difference = 2250\:rupees}$

Answer 2

Answer:

Rs 2,250‬

Step-by-step explanation:

Given :

Principle amount = Rs 625000

Rate = 6 %

Time = 2 years .

Now : Simple interest :

We have formula :

$\displaystyle \text{S.I. = \dfrac{P\times R \times T}{100} }\\\\\\\displaystyle \text{S.I. = \dfrac{625000\times 6 \times 2}{100} }\\\\\\\displaystyle \text{S.I. = Rs 75,000}$

Now :

Compound interest :

C.I. = A - P

We have formula :

$\displaystyle \text{A. = P \left (1+\dfrac{R}{100}\right)^n }\\\\\\\displaystyle \text{A. = 625000 \left (1+\dfrac{6}{100}\right)^2 }\\\\\\\displaystyle \text{A. = 625000 \left (\dfrac{106}{100}\right)^2 }\\\\\\\displaystyle \text{A. = 62.5\times106\times106 }\\\\\\\displaystyle \text{A. = Rs 7,02,250}$

C.I. = 7,02,250 - 6,25,000

C.I. = 77,250

Now difference between C.I. and S.I.

D = 77,250 - 75,000

D = Rs 2,250

‬Hence we get answer  Rs 2,250‬.