Question

The difference between compound interest for a year payable half-yearly and simple interest on a certain sum of money lent out at 10% for a year is Rs15. Find the sum of money lent out.

Answer 1

Answer:

6000

step-by-step explanation:

GIVEN:

p= ?

R=10%

CI-SI= 15

FORMULAE TO USE OVERALL:

CI(Amt) AND SI

SI= PxRxT

       100

AMT= P(1 + R  )^TIME

                100

SOLUTION:

WE WILL DO SI FIRST:

i.e. P

     10

THEN WE WILL DO CI:

CI= P(1 + R  )^2

            2x 100

CI= 210^2  -p

       200

   = 441 P

       400

difference: CI - SI

                 41P _ P   =   P

                 400    10    400

 

BUT WE KNOW DIFF = 15

P     =  15

400

P = 15x400

P = 6000