Question

. Govind borrows * 18,000 at 10% simple
interest. He immediately invests the money
borrowed at 10% compound interest
compounded half-yearly. How much money
does Govind gain in one year ?
without using formula​

Answer 1

Answer:

Here is your answer mate

Step-by-step explanation:

Sum=Rs.18000

Rate =10%

Time =1 year

S.I=

100

PRT

⇒

100

18000×10×1

=Rs.1800

Govind invest the sum at 10% compound interest half-yearly

Then amount after 1 year

R=10% half-yearly=

2

10

=5%

Time =1 year=2 half year

amount=P(1+

100

R

)

T

⇒18000(1+

100

5

)

2

⇒18000×

100

105

×

100

105

⇒Rs.19845

C.I=amount−Sum

=19845−18000=Rs.1845

Difference between C.I and S.I=1845−1800=Rs.45

Hence Govind gain Rs.45 in a year