Question

Find the difference between the simple interest and compound interest on Rs 1600 for 3/2 years at 5% per annum, compound interest being reckoned half yearly

Answer 1

Answer:

Step-by-step explanation:

Simple interest= p*r*t /100

(1600*3*5)/200

=120

Compound interest=p{(1+r/200)^n-1}

For half yearly

Time = 3/2 years= 3 half year

1600{(1+5/200)^3-1}

=123.025

Difference b/w c.i and s.i

123.025-120

=3.025