Question

the sum of simple interest and compound interest of a certain interest on a sum of money for 2 years at the rate of 7% p.a is Rs 85470. by how much percent the compound interest is more than the simple interest?​

Answer 1

Answer: 3.3%

Explanation:

Principal not given.

SI = PRT/100

CI = P(1+R/100)^T -

SI + CI = 85470

[P×7×2]//100 + P [1+ (7/100)]^2 = 85470

on solving: P = 3,00,000

P = 300000 SI for 2 years = 42000

CI = Rs 43470

The difference= Rs 1470

as percentage to CI = [1470/ 43470] ×100

= 3.38%