Question

The difference between compound interest and simple interest at 5% per annum. in 2 years is 30. Find the sum.

Answer 1

Step-by-step explanation:

:

• Rate = 5% per annum

• Time = 2 years.

• Sum = ?

• Difference b/w CI & SI for 2 years :

$:\implies\sf Difference=\dfrac{Principal \times (Rate)^2}{100^2}\\\\\\:\implies\sf 30=\dfrac{Principal \times (5)^2}{100^2}\\\\\\:\implies\sf 30=\dfrac{Principal \times 5 \times 5}{100 \times 100}\\\\\\:\implies\sf 30=\dfrac{Principal }{20 \times 20}\\\\\\:\implies\sf 30 \times 20 \times 20 = Principal\\\\\\:\implies\underline{\boxed{\sf Principal = Rs. \:12000}}$

⠀

$\therefore\:\underline{\textsf{Hence, the sum is \textbf{Rs. 12,000}}}.$