Question

The difference of simple interests on Rs 500 at two different simple rate
interests p.a. for 2 years is Rs 2.50. The difference of rates of interest ​

Answer 1

SI = PRT / 100

P = 500

T= 2 yrs

Let Rates of interest be r₁ and r₂

So,

SI₁ = [ 500 * r₁ * 2 ] / 100

SI₁ = 10 r₁

Similarly

SI₂ = [ 500 * r₂ * 2 ] / 100

SI₂ = 10 r₂

So, SI₁ - SI₂ = 2.50

Putting the values, we get

10 r₁ - 10 r₂ = 2.50

r₁ - r₂ = 0.25