Question

the difference between the compound interest and the simple interest on a certain sum for 2 years at 5% per annum is rs60.find the sum.

Answer 1

let principal amount be P

simple Interst after 2 years = P * 2*.05 = 0.1P

compound amount= P(1+.05)^2 = 1.1025P

so compound interest = 1.1025P - P =0 .1025P

now 0.1025P - 0.1P =60... so P = 24000

0.1P + 0.1025P = 2400 + 2460 = 4860

Answer 2

LET THE SUM TO BE FOUND IS P.

RATE OF INTEREST: 5%

TIME: 2 YRS

C.I.-S.I=60 RUPEES

P[(1+r/100)^2 -1-(5*2)/100]=₹60

Putting the values of r and t in the above expression and solving it

then u get the answer.