Question

what is the difference between amount for two years and three years for rupees 500 at 10 rate compound interest ​

Answer 1

Answer:

• The difference between amount for two years and three years is Rs 60.50.

Step-by-step explanation:

Given that:

• Principal = Rs 500
• Rate of interest = 10% per annum

To Find:

• Difference between amount for two years and three years.

Formula used:

Amount in compound interest.

• A = P(1 + R/100)ᵀ

Where,

• A = Amount
• P = Principal
• R = Rate of interest
• T = Time

Finding the amount in two years:

⟶ A = 500(1 + 10/100)²

⟶ A = 500(1 + 0.1)²

⟶ A = 500(1.1)²

⟶ A = 500 × 1.1 × 1.1

⟶ A = 605

∴ Amount in two years = Rs 605

Finding the amount in three years:

⟶ A = 500(1 + 10/100)³

⟶ A = 500(1 + 0.1)³

⟶ A = 500(1.1)³

⟶ A = 500 × 1.1 × 1.1 × 1.1

⟶ A = 665.50

∴ Amount in three years = Rs 665.50

Finding difference between amount for two years and three years:

⇒ Difference = Rs 665.50 - Rs 605

⇒ Difference = Rs 60.50

∴ Difference between amount for two years and three years = Rs 60.50

Answer 2

Question:-

• what is the difference between amount for two years and three years for rupees 500 at 10 rate compound interest.

To Find:-

• Difference between amount for two years and three years.

Solution:-

Formula to be Used:-

• $\sf \: A = P \times{( 1 + \dfrac { R } { 100 } ) }^{ T }$

Finding the amount in two years:-

$\longrightarrow\sf \: A = 500 \times { ( 1 + \dfrac { 10 } { 100 } ) }^{ 2 }$

$\longrightarrow\sf \: A = 500 \times { 1.1 }^{ 2 }$

$\longrightarrow\sf \: A = 605$

Finding the amount in three years:-

$\longrightarrow\sf \: A = 500 \times { ( 1 + \dfrac { 10 } { 100 } ) }^{ 3 }$

$\longrightarrow\sf \: A = 500 \times { 1.1 }^{ 3 }$

$\longrightarrow\sf \: A = 665.5$

Difference between amount for two and three years:-

$\longrightarrow\sf \: Difference = 665.5 - 605$

$\longrightarrow\sf \: Difference = 60.5$

Hence ,

• Difference is 60.5