Question
If at same rate of interest, in 2 years, the simple
interest is ₹42 and compound interest is ₹51, then what is the principal (in ₹)?Solution
Given: SI (2 years) = 42 CI (2 years) = 51 Difference = CI − SI = 51 − 42 = 9 For 2 years: P r² = 9 SI formula: P × r × 2 = 42 P r = 21 So, P r² = (P r) × r = 21r = 9 r = 3/7 Principal, P = 21 ÷ (3/7) P = 49 Answer: Principal = ₹49
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