Question

The difference between compound interest and simple interest of a certain sum is 10 while interest is provided @5% p.a for 2 years. find the sum.​

Answer 1

Answer:

we know by the formula that the difference between si and ci for 2 years is = P* (R/100)^2

putting the values here we get,

P* (5/100)^2 = 10

P*(1/20 * 1/20 ) = 10

P = 10*20*20

P= 4000

I hope this may help you

Answer 2

Answer:

The certain amount = 44.943 (approx)      

Step-by-step explanation:

Given data

The difference between compound interest and simple interest of a certain sum = 10 Rs.

rate of interest  R = 5%

given time period = 2 years

here we need to find the certain sum

Let the certain P be the certain sum

Simple interest on P, I = $\frac{PTR }{100}$  

                                       = $\frac{P(2)(5)}{100}$ = $\frac{P}{10}$ = 0.1 P

Compounded interest on P, I = $P [ 1+\frac{R}{100} ]^{T} - P$

                                                  = $P [ 1+\frac{5}{100} ]^{2} - P$

                                                  =  $P [\frac{115}{100} ]^{2} - P$

                                                  = 1.3225 P - P

                                                  = 0.3225 P

The difference between simple interest and compounded interest =

                                 0.3225 P - 0.1 P = 10    

                                  0.2225 P = 10

                                   P = 44.943 (approx)