Question

Write True or False
1) The discount is reckoned on the cost price.
2) Gain is reckoned on marked price.
3) S.P= Marked Price- Discount.
4) Simple Interest is always more then Compound Interest.
5) The Compound Interest on the rupees 12000 for 2 years at 10% per annum compound annually is rupees 2520.​

Answer 1

Answer:

Refer to the following

Step-by-step explanation:

1) False-

Explanation- Discount is reckoned on Marked price

2)False

Explanation- Gain is reckoned on Cost Price

3)True

Explanation: SP is the marked price after discount

4) False

Explanation- For the first year simple interest is equal to compund interest. But from then the compound interest is greater than simple interest.

5)True

Explanation- We know that

A = P(1+r/100)^n

so, amount after 2 years= Rs 12000(1+10/100)²

= Rs 14520

so, C.I. = A - P =Rs (14520-12000)= Rs 2520