Question

Find the difference between the
Compound Interest and Simple Interest
on the sum of 10000 at 20% per
annum for 3 years.
​

Answer 1

Answer:

1000.

Step-by-step explanation:

Let P be the principal.

Value including interest after 36 months at simple interest:

P+ (P X 3x 10/100)

P(1+ 30/100),= P X 130/100. (1)

Compound interest:

=P X 110/100 X 110/100 X 110/100,

=P X 1331/1000. (2)

The difference in interest is 31.

Hence (2) - (1) = 31.

i.e. P X 1331/1000 - P X 1300/1000 = 31  

P X 31/1000 = 31.

P = 1000.

Answer 2

Answer:

ANSWER :)

1000

HOPE IT HELPS