Find the compound interest at the rate of 10% per annum for two years

1.	Find the compound interest at the rate of 10% per annum for two years on that principal which in two years at the rate of 10% per annum given Rs. 200 as simple interest.
Answer» Given, Rate of simple interest = 10% Time = 2 years Simple interest = RS.200 So, = simple interest \(=\frac{P\times R \times T}{100}\) \(={200}=\frac{P \times 2 \times 10}{100}\) = P = Rs.1000 Rate of compound interest = 10% Time = 2 years = Compound interest \(={p}[({1}+\frac{R}{100})^T-{1}]\) \(={1000}[({1}+\frac{10}{100})^2-{1}]\) \(={1000}[(\frac{11}{10})^T-{1}]\) \(={1000}\times\frac{21}{100}\) = RS. 210

Find the compound interest at the rate of 10% per annum for two years on that principal which in two years at the rate of 10% per annum given Rs. 200 as simple interest.

Answer»

Given,

Rate of simple interest = 10%

Time = 2 years

Simple interest = RS.200

So,

= simple interest \(=\frac{P\times R \times T}{100}\)

\(={200}=\frac{P \times 2 \times 10}{100}\)

= P = Rs.1000

Rate of compound interest = 10%

Time = 2 years

= Compound interest \(={p}[({1}+\frac{R}{100})^T-{1}]\)

\(={1000}[({1}+\frac{10}{100})^2-{1}]\)

\(={1000}[(\frac{11}{10})^T-{1}]\)

\(={1000}\times\frac{21}{100}\) = RS. 210