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InterviewSolution
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The Difference Between The Simple Interest And Compound Interest On A Certain Sum Of Money For 2 Years At 15% P. A. Is Rs. 45. Find The Sum ? |
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Answer» SINCE we know that the interest rate is 0.15, and KNOWING that the difference between TWO years of compound interest is nothing but interest on interest, we can find the FIRST year’s interest as – 45/0.15 = 300. Now if the interest is 300 at the end of one year, then the principal is 300 / 0.15 = 2,000 Since we know that the interest rate is 0.15, and knowing that the difference between two years of compound interest is nothing but interest on interest, we can find the first year’s interest as – 45/0.15 = 300. Now if the interest is 300 at the end of one year, then the principal is 300 / 0.15 = 2,000 |
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