The difference between compound interest and simple interest on a certain sum for 3years at5% per annum is 80.Find the sum

Asked by rajinder4522 | 20th Oct, 2019, 07:56: PM

Expert Answer:

n = 3 years, r = 5% p.a. 
Compound intrest - simple interest = 80
P(1 + r)n - P - Pnr/100 = 80
P(1 + 0.05)3 - P - P × 3 × 5/100 = 80
P[1.157625 - 1 - 0.15] = 80
P × 0.007625 = 80
P = Rs. 10491.80
The sum is Rs. 10491.80

Answered by Sneha shidid | 22nd Oct, 2019, 09:40: AM