Question

the difference between the compound interest and the simple interest on a certain sum of money at 12% per annum for 2 years is 648 find the sum

Answer 1

Answer:

Step-by-step explanation:

Let the amount of principal = 100x

Time = 5 yrs

Rate = 10%

We know that

S.I. = P×R×T/100

=. 100x×10×5/100

=. 50x. ( 1 )

Again,

New principal = 100x

Rate. =. 16%

Time. = 4 yrs

S.I.= 100x × 4× 16/100

= 64x

64x = 196+ 50x

64x - 50x = 196

14x. = 196

x. = 196/14

= 14

Then the principal is : 100× 14

= 1400

Answer 2

S.I = P×R×T/100

= 648 × 12 × 2/100

= 3888/25

= 155.52

A = P (1 + r/100)^t

= 648 (1 + 12/100)^2

= 648 × 112/100 × 112/100

= 8,128,512/10,000

= 812.8512

C.I = A - P

= 812.8512 - 648

= 164.8512

Difference = 164.8512 - 155.52

= 9.3312 ans.