Question

If the different between simple interest and compound interest on a cetrain sum for 3 years at 10% per annum is Rs. 31, find the sum

Answer 1

Answer:

Step-by-step explanation:

Here, in this question, the difference is already given to us and we are required to find the principal amount. The difference is given for three years. So, the formula will be,

Difference = P(R)³/100³

Now, putting the values into the equation, we will find that,

31 = P(10)³/(100)3

31 x 100³/10³ = P

31 × 1000000 / 1000= P

31 × 1000 =  P

31000 = P

So, the principal is Rs .31000