Question
Rahul invested Rs. 2450 at a 40% per annum simple
interest rate for 'y' years, and this investment yielded a total amount of Rs. 4410. Find the interest earned when Rahul invests Rs. 3500 in a compound interest account with an annual interest rate of 30%, compounded annually for 'y' years.Solution
ATQ, (2450 × 40 × y)/100 = 4410 – 2450 Or, y = (1960/980) = 2 years Therefore, interest received = 3500(1 + (30/100))2 – 3500 = Rs.2415
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