Accountancy, asked by madhualuvala4846, 1 year ago

The compound interest on a sum of money for 2 years is rs 832

Answers

Answered by Anonymous
0

SI for 1st year =400

SI for 2nd year=400

CI for 1st year = 400

CI for 2nd year = 832-400= 432

compound interest for 2nd year is more than simple interest for 2nd year by 432 - 400 = Rs.32  

i.e, Rs. 32 is the interest obtained for Rs.400 for 1 year

Rate, R = 100*SI*P*T=100×32400×1=8%

Difference between compound and simple interest for the 3rd year

= Simple Interest obtained for Rs.832  

=PRT/100=832×8×1100=Rs. 66.56

Total difference between the compound and simple interest for 3 years

= 32 + 66.56 = Rs.98.56

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