Mahesh borrowed a certain sum for two years at simple interest from Bhim.
Mahesh lent this sum to Vishnu at the same rate for two years compound interest.
At the end of two years, Mahesh received 410 as compound interest but paid
400 as simple interest. Find the sum and rate of interest.
Answers
Answered by
2
Step-by-step explanation:
Let the sum borrowed by Mahesh be RS P and rate of interest be R%p.a
Simple interest (SI)=Rs 400,N=2 years
SI=
100
P×N×R
∴P=
N×R
SI×100
=
2×R
400×100
∴P=
R
20000
.......... (1)
Mahesh lent this sum to vishnu at the same rate for 2 years at compound interest
CI=RS 410,N=2 years
∴CI=P(1+
100
R
)
N
−P
∴CI=P[(1+
100
R
)
N
−1]
∴410=
R
20000
[(
100
100+R
)
2
−1] .......... [From (1)]
∴410=
R
20000
[
10000
10000+R
2
+200R−10000
]
∴
20000
410×R
=
10000
R
2
+200R
∴
20000
410×R
=
10000
R(R+200)
∴
20000
410×10000
=R+200
∴205=R+200
∴R=205−200
∴R=5%pa
P=
5
20000
=Rs 4000
∴ The sum borrowed by Mahesh =Rs 4000
and rate of interest +5%pa
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