The difference between simple interest and compound on Rs. 1200 for one year at 10% per annum reckoned half-yearly is:
A. Rs. 2.50
B. Rs. 3
C. Rs. 3.75
D. Rs. 4
E. None of these
Answer: Option B
Solution(By Examveda Team)
$$\eqalign{ & {\text{S}}{\text{.I}}{\text{.}}\, = Rs.\,\left( {\frac{{1200 \times 5 \times 2}}{{100}}} \right) \cr & \,\,\,\,\,\,\,\,\,\,\,\,\, = Rs.\,120 \cr & {\text{C}}{\text{.I}}{\text{.}} = Rs.\,\left[ {1200 \times {{\left( {1 + \frac{5}{{100}}} \right)}^2} - 1200} \right] \cr & \,\,\,\,\,\,\,\,\,\,\,\,\, = Rs.\,123 \cr & \therefore {\text{Difference}} = Rs.\,\left( {123 - 120} \right) \cr & \,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\,\, = Rs.\,3 \cr} $$Join The Discussion
Comments ( 2 )
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The si must be 60 though the principle deposit for half yearly
why the subrtraction in ci isdone from 1200??