Question

Simple interest on a certain sum of money at 9% is rupees 450 in 2 years find the compound interest on the same sum at the same rate for 1 year if the interest is reckoned half yearly

Answer 1

now SI FORMULA IS

PRINCIPLE ×INTRRST×TIME

NOW FORMULA IF WHOLE SUM OF AMOUNT IS GIVE

WHOLE AMOUNT CONSISTS OF INTREST AND PRINCIPLE

PRINCIPLE+ SIMPLE INTREST=450

P+IT=AMOUNT

IT= A-P

x×9×2/100=A-x

100A-100X=18X

100A=118X

NOW A=450

100A=45000

X=45000/118=381.3

now PRINCIPLE=381.3