Question

Two equal amounts are invested for 2 years at 11% per annum, one at simple interest and the other at compound interest. If the dierence in the interests for the two years on the two amounts is rs.72.60, then what is the amount?

Answer 1

Step-by-step explanation:

formula

for 2 years CI - SI

$p \times {( \frac{r}{100}) }^{2} = difference \\ or \: p \times \frac{121}{10000} = 72.60 \\ or \: p = \frac{726000}{121} = \frac{66000}{11} = 6000$

pricipal = 6000

SI amount =

$6000 + 6000 \times \frac{11}{100} \times 2 = 7320$

CI amount =

$6000 \times {( \frac{111}{100}) }^{2} \\ = 6000 \times \frac{111}{100} \times \frac{111}{100} \\ = 7392.6$