Question

Mr Sinha borrowed rupees 24000 from his friend Mr Aditya at the rate of 18% per annum simple interest for 3 years he lent this money to Mr Kapoor at the same rate but compounded annually find his gain after 3 years​

Answer 1

we get

P=24000

t=3 yrs

r=18%

so

simple interest

=Prt/100

=24000*18*3/100

=12960

so

compoind interest

$p {(1 + \frac{r}{100} )}^{t} - p$

=24000(1+18/100)^3 - 24000

=15432.768

so, difference between si and ci

=15432.768-12960

=2472.768

and this is the amount gained