Discussion
Indu gave Bindu Rs.1250 on compound interest for 2 years at 4% per annum. How much loss would Indu has suffered had she given it to Bindu for 2 years at 4% per annum simple interest?
Answer: B
\[ A = P\left(1 + \frac{R}{100}\right)^{n}, \qquad \text{CI} = A - P, \qquad \text{SI} = \frac{PRn}{100} \]
\[ \text{CI} = 1250\left[(1.04)^{2} - 1\right] = 1250(1.0816 - 1) = \text{Rs. } 102 \]
\[ \text{SI} = 1250 \times 0.04 \times 2 = \text{Rs. } 100 \]
\[ \text{loss} = 102 - 100 = \text{Rs. } 2 \]
The same figure comes from the shortcut \( P\left(\tfrac{R}{100}\right)^{2} = 1250 \times 0.0016 = 2 \).
No comment is present. Be the first to comment.
Loading…
Post your comment
Please log in or register to post a comment.
Examination Categories
- SSC Exams
- Banking Exams
- Teaching Exams
- Civil Services Exams
- Railways Exams
- Engineering Recruitment Exams
- Defence Exams
- State Government Exams
- Police Exams
- Insurance Exams
- Nursing Exams
- Other Government Exams
- NRA CET
- PG Entrance Exams
- Campus Placement
- MBA Entrance Exams
- CUET and UG Entrance
- Judiciary Exams
- Regulatory Body Exams
- Software Development