ЁЯУв Too many exams? DonтАЩt know which one suits you best? Book Your Free Expert ЁЯСЙ call Now!

    Question

    The difference between compound interest and simple

    interest at rate of 26% per annum for 2 years is Rs. 507. Find the simple interest obtained on same amount for a period of 2 years at rate of 10% per annum.
    A Rs. 2000 Correct Answer Incorrect Answer
    B Rs. 3000 Correct Answer Incorrect Answer
    C Rs. 1000 Correct Answer Incorrect Answer
    D Rs. 1500 Correct Answer Incorrect Answer

    Solution

    Let, the amount be Rs. P. P[(1 + 26/100)2 тАУ 1] тАУ P ├Ч 26% ├Ч 2 = 507 P ├Ч 0.5876 тАУ P ├Ч 0.52 = 507 P ├Ч 0.0676 = 507 P = 507 ├╖ 0.0676 = Rs. 7500 Therefore, required interest = 7500 ├Ч 10% ├Ч 2 = Rs. 1500

    Practice Next
    More Simple and compound interest Questions

    Relevant for Exams:

    ask-question