Question

Findi-
① P=12000, T = 3 years , R=2% find the simple
interest & compound Interest
.​

Answer 1

$\large \underline{ \underline{ \text{Question:}}}$

• P = 12000, T = 3 years , R = 2% Find the Simple Interest & Compound Interest.

$\large \underline{ \underline{ \text{Solution:}}}$

Given that,

• $\text{The Principal} \: (P) = \pounds 12000,$
• $\text{At Rate} \: (R) = 2 \: \%,$

And,

• $\text{For Time} \: (T) = 3 \text{years},$

Finding the Simple Interest,

As we know,

• $\boxed{\text{Simple Interest} = \frac{P \times R \times T}{100}}$

Substituting the given values,

$\implies \text{Simple Interest} = \frac{P \times R \times T}{100}\\ \\ \implies \text{Simple Interest} = \frac{\pounds 12000 \times 2 \times 3}{100} \\ \\ \implies \text{Simple Interest} = \pounds 120 \times 2 \times 3 \\ \\ \implies \text{Simple Interest} = \pounds 720$

Hence,

• The Simple Interest is £ 720.

.

Finding the Compound Interest,

As we know,

• $\boxed{\text{Amount} = P \bigg(1 + \frac{R}{100} \bigg)^T}$

Substituting the given values,

$\implies \text{Amount} = \pounds 12000 \bigg(1 + \frac{2}{100} \bigg)^{3}\\ \\ \implies \text{Amount} = \pounds 12000 \bigg(1 + \frac{1}{50} \bigg)^{3} \\ \\ \implies \text{Amount} = \pounds 12000 \bigg( \frac{51}{50} \bigg)^{3} \\ \\ \implies \text{Amount} = \pounds 12000 \times \frac{51}{50} \times \frac{51}{50} \times \frac{51}{50} \\ \\ \implies \text{Amount} = \pounds \frac{12 \times 51 \times 51 \times 51}{125} \\ \\ \implies \text{Amount} = \pounds 12734.496$

Hence,

• The Amount in Compound Interest is £ 12734.496.

As we know,

• $\boxed{\text{Compound Interest}{ \: = A - P}}$

Substituting the values,

$\implies\text{Compound Interest} = \pounds 12734.496- \pounds 12000\\ \\ \implies\text{Compound Interest} = \pounds 734.496$

Therefore,

• The Compound Interest is £ 734.496.

$\\ \large \underline{ \underline{ \text{Required Answer:}}}$

• The Simple Interest is £ 720.

And,

• The Compound Interest is £ 734.496.