Question

on what sum of money will the difference between the simple interest and compound interest in 2 years at 5 per cent per annum be rupees 15​

Answer 1

Answer:

Simple Interest Sum:

15 = P × 2 × 0.05

P = 150

So total amount after adding interest is = 165

Compound Interest Sum:

P + 15 = P( 1+0.05 )2

P+15 = 1.1025P

15 = 1.1025P - P

15 = P( 1.1025 - 1 )

P = 146.34