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The difference between the compound internet …

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The difference between the compound internet and simple internet on a certain sum at 15 percent p.a for 3 years is Rs 283.50 .Find the sum
  • 1 answers

Sia ? 3 years, 6 months ago

Given details are,
Rate = 15 % per annum
Compound Interest (CI) – Simple Interest (SI)= Rs 283.50
Time (t) = 3 years
By using the formula,
CI – SI = 283.50
P [(1 + R/100)n – 1] – (PTR)/100 = 283.50
P [(1 + 15/100)3 – 1] – (P(3)(15))/100 = 283.50
P[1.520 – 1] – (45P)/100 = 283.50
0.52P – 0.45P = 283.50
0.07P = 283.50
P = 283.50/0.07
= 4000
∴ The sum is Rs 4000.

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