Question

the difference between the compound interest and simple interest on a certain sum at 10% for 3 years is 93. Find the sum

Answer 1

Heya friend,

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Let ₹P be the principal. Then,

S.I. = P×R×T/100

= P×10×3/100

= ₹3P/10


C.I. = P{(1+R/100)^n - 1}

= P{(1+10/100)^3 - 1

= P{(100+10/100)^3 - 1}

= P{(110/100)^3 - 1}

= P{(11/10)^3 - 1

= P{1,331/1,000 - 1}

= P{1,331 - 1,000/1,000}

= P{331/1,000}

= ₹331P/1,000

According to question,

C.I. - S.I. = 93

=> 331P/1,000 - 3P/10 = 93

=> 331P - 300P/1,000 = 93

=> 31P/1,000 = 93

=> P = 93×1,000/31

=> P = ₹3,000

Hence, the sum is ₹3,000.


Thanks

With regards@

Tanisha