Question

The difference between SI and CI for 2 years on the same sum and at the same rate of interest, compounded annually is Rs. 1080. The difference between Si and CI for 3 years on the same sum and at the same rate of interest is Rs. 3294. Find the rate of interest​

Answer 1

Answer:

T=2years, R=5%p.a,

CI−SI=Rs5

Let the sum of money lent be x.

Then,

Simple Interest=Rs100x×2×5=Rs10x

Compound Interest:-

Interest for the 1st year=Rs100x×5×1=Rs20x

Amount after the 1st year=Rs x+20x=Rs2021x

Interest for the 2nd year=Rs2021x×1005×1

=Rs40021x

Amount after the 2nd year=Rsx+40021x+2021x

=Rs400441

Then,

40041x−10x=5⇒40041x−40x=