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

    Question

    On a sum of Rs 5,000 at 10% per annum for 2 years, what

    is the difference between compound interest (compounded annually) and simple interest?
    A 50 Correct Answer Incorrect Answer
    B 75 Correct Answer Incorrect Answer
    C 65 Correct Answer Incorrect Answer
    D 45 Correct Answer Incorrect Answer

    Solution

    ATQ, Simple interest (2 years) = (5,000 ├Ч 10 ├Ч 2)/100 = 1,000 Amount by CI = 5,000 ├Ч (1.10)┬▓ = 5,000 ├Ч 1.21 = 6,050 CI = 6,050 тИТ 5,000 = 1,050 Difference = CI тИТ SI = 1,050 тИТ 1,000 = 50

    Practice Next
    More Simple and compound interest Questions
    ask-question