Question

If the difference between the compound interest and simple interest on a certain sum of money for 2 years at 25/2 per annum is₹150.the sum is:

Answer 1

Step-by-step explanation:

r=12.5%

Diff=[P(1+12.5/100)^n-P] - [P*12.5/100*n

- P ] = 150

[P(1+0.125)^2-P]-[P*0.125*2-P]

=150

[1.125^2*P-P]-[0.25P-P]=150

P[1.265625-1]-[-0.75P]=150

P*(0.265625+0.75)=150

P=150/1.015625

=147.69