Question

Find the difference between simple interest and annual compound interest on Rs 9,600 for 2 yers at the rate of 5 % per annum.​

Answer 1

Rs 984

Explanation:

Principal (P) = Rs 9,600

Time (T) = 2 years

Rate (R) = 5%

Simple Interest (SI) =
`(PTR)/(100)`

SI =
`(9600*2*5)/(100)`

SI =
`(9600)/(10) = Rs 960`

Compound Interest (CI) = 9600 *
`(41)/(100) = 24*41 = Rs 984`