Question

the simple interest accrued on a sum of certain principal is rs 2000 in five years at the rate of 4% per annum what would be the compound intrest accrued on same principal at same rate in two years .. (a) Rs 716 (b) Rs 724 (c)Rs824 (D) Rs 816

Answer 1

Hi!

S. I = PRT /100
=> Rs. 2000 = P * 4 * 5 /100
=> P = Rs. 10,000

Therefore C. I on the sum for two years reckoned annually
= Rs{10,000(1+ 4/100)^2 - 10,000}
= Rs(10,816 - 10,000)
= Rs. 816 (ans)

Hope this helps :)

Answer 2

Answer:

The compound interest will be Rs 816.

Step-by-step explanation:

Given:

Simple Interest(SI)=Rs 2000

Time(T)=5 years

Rate of interest(R)=4%

Time(T)=2 years

To find: Compound interest(CI)=?
Solution:
$S1=P*R*T/100$

2000=P*4*5

∴P=Rs 10000

$CI=P(1+\frac{R}{100})^{T} -P$

    =$10000(10000+\frac{4}{100} )^{2}-10000$

    =10816-10000

    = 816Rs

Therefore, the compound interest will be Rs 816.