Question

The two difference b/w the interest recived frome two bank on rs500 for two year is rs2.50 . the difference b/w their interest rate is

Answer 1

Answer:

★ Difference = 0.25% ★

Step-by-step explanation:

Given:

• Principal is Rs 500 , Time is 2 years and Difference between interest is Rs 2.50

To Find:

• Difference between Interest rate

Solution: Let the Interest given by first 1 bank be r¹ and by second bank be r²

★ We know that Simple Interest =( Principal x Rate x Time / 100 ) ★

$\small\implies{\sf }$ S.I¹ = (500 x 2 x r¹ / 100 )

$\small\implies{\sf }$ S.I¹ = 1000/100 x r¹

$\small\implies{\sf }$ S.I¹ = 10 r¹

Similarly,

$\small\implies{\sf }$ S.I² = ( 500 x 2 x r² / 100 )²

$\small\implies{\sf }$ S.I² = 1000/100 x r²

$\small\implies{\sf }$ S.I² = 10r²

According to the question, Difference between ( S.I¹– S.I² )= Rs 2.50

$\small\implies{\sf }$ 10r¹ – 10r² = 2.50

$\small\implies{\sf }$ 10 ( r¹ – r²) = 2.50

$\small\implies{\sf }$ r¹ – r² = 2.50 / 10

$\small\implies{\sf }$ r¹ – r² = 0.25 %

Hence, The Difference between their Interest Rate is 0.25%