Question

Ravi lent Rs 8000 to Ram at the rate of 18% per annum simple interest. How much does Ram owes to Ravi after 2 years 6 months?​

Answer 1

Answer:

Given P=Rs.12000N=2R=6%

S.I.=

100

PNR

SI =

100

12000×6×2

=1440

A=SI+P=1440+12000= Rs. 13440

Compound interest:

A=P(1+

100

r

)

n

=12000(1+

100

6

)

(2)

=12000(1.1236)

=Rs.13483.2

Amount =Rs.13483.20

CI=A−P=13483.20−12000

=Rs.1483.20

Extra interest =13483.20−13440=Rs.43.20

Answer 2

Answer:

18% /annum

so 18% of 8000

8000 ------ 100%

   ?    ------- 18%

cross multiply

=  18 X 8000 / 100

= 1,440

So 1,400/annum is intrest

1,400 ---------- 12 months (1 year)

?           ---------- 30 months (2 years 6 months)

cross multiply

= 1,400 X 30 / 12

= 3,500

Ravi need to pay 3,500 as intrest

Total cost Ravi need to pay  = 8000 + 3,500

= 11,500 rupees