Question

The difference between compound and simple interest on a sum of money
deposited for 2 years at 5% per annum is Rs 12. Find the sum of money.

Answer 1

Answer:

Rs:4,800

Step-by-step explanation:

For

N=2 year

R=5%

we have S.I=pnr/100=P×2×5/100=10P/100=0.1P

And on intrest being compund for 2

years and R= 5% Amount=

p(1+R/100)N = P(1+5/100)2=px (1.05)=1.1025P

GIVEN C.I=A-p =1.1025P-P=0.1025P

Given,C.I-S.I=Rs:12

=>0.1025-p-0.1P=Rs:12

=>0.0025P = Rs:12

=>P = Rs:4,800