Question

principal = 3000 , Rate of interest = 5 p.c.p.a. , (N) Time = 2 years. Find the Simple Interest , Compound interest and difference ​

Answer 1

Answer:

Principal (P) = ₹3000

Rate (R) = 5%

Time (N) = 2 years

Simple Interest (SI) = PNR/100

=> SI = 3000 × 2 × 5/100

=> SI = ₹300

Compound Interest (CI) = [P (1 + R/100)ⁿ] - P

=> CI = [3000 (1 + 5/100)²] - 3000

=> CI = [3000 (21/20)²] - 3000

=> CI = ₹3307.50 - ₹3000

=> CI = ₹307.50

Difference = ₹307.50 - ₹300 = ₹7.50